Daily thread to exchange ideas and to share your thoughts
Happy Monday, everyone! Hope you all had a great weekend and that you’re ready to tackle the new week with renewed vigour. It’s been a decent start to the day so far with the aussie leading gains after a friendlier election outcome over the weekend.
The kiwi is also dragged higher as a result, while the loonie is bid on the back of higher oil prices after OPEC+ inched closer towards an extension of its output cut deal. The rest of the major currencies bloc remains little changed (<0.1% change against the dollar) as markets are looking to settle on a fresh theme as we begin the week.
US equity futures are up slightly by 0.2% while Treasury yields are only a tad higher – 10-year yields up 0.7 bps to 2.398% – with European stocks mostly flat to start the session. That’s leaving a lot to be desired as we look to find a direction for risk assets amid the tensions still seen between US and China on trade.
Unless risk trades start to favour one side or another, I reckon we could be in for a more quiet session before we get a number of Fed speakers later in US trading. What are your views on the market right now? Share your thoughts/ideas with the ForexLive community here.