Headlines:
Markets:
- EUR leads, JPY lags on the day
- European equities mixed; S&P 500 futures down 0.2%
- US 10-year yields down 2.3 bps to 4.409%
- Gold up 0.5% to $2,611.43
- WTI crude up 0.3% to $68.31
- Bitcoin down 0.7% to $87,702
It was a quiet session as the post-election trades are pausing for a bit of a breather in anticipation of the US CPI report later.
That is the main event for today, thus keeping a more pensive mood among major currencies. The dollar is steadier across the board, holding on to gains with EUR/USD briefly dipping below 1.0600 before bouncing back up to 1.0630 now. Meanwhile, USD/JPY had a brief run above 155.00 before holding around 154.85 currently.
The other major currencies held in tighter ranges against the dollar with GBP/USD around 1.2740-50 levels and USD/CAD around 1.3940-50 levels mostly. Even AUD/USD is keeping within a 23 pips range, seen at 0.6524 currently and down just 0.1% on the day.
In other markets, equities are more cautious with European indices holding more mixed and a little lower after the heavy selling yesterday. US futures are also pointing down slightly alongside bond yields but a lot can change once we get past the CPI hurdle later.
Fedspeak will continue to be in focus as well besides the inflation numbers. And then tomorrow, we will be getting the PPI report and weekly jobless claims before the retail sales data on Friday. In between that, Fed chair Powell will also be speaking.
So, those will be key risk events to add to the post-election trading mix for the remainder of the week.