CAD is strongest (continuing the upward movement seen yesterday) and NZD is weakest as North American traders enter for the day.
The USD is mixed / little changed as traders wait for the release of US CPI data at 8:30 am. This data point is expected to reach 7.0% year-on-year from 6.8% last month (the highest since 1982). Core CPI inflation is expected to rise 5.4% (up from 4.9% last month – the highest since 1991).
US stock index futures point to a higher open after yesterday’s rise which saw the Nasdaq index lead the way with a rise of 1.41%.
US rates have changed little after the rate drop yesterday (10 and 30 year rates fell by around -4 basis points yesterday). The US Treasury will auction $ 36 billion in 10-year notes (reopened 9 and 10-month notes) at 1 p.m. today. Tomorrow, they will complete the repayment this week by auctioning $ 22 billion in 30-year bonds (29 years and 10 months).
The heat has come from the upward trend in rates last week, after the Fed chairman during his appointment testimony hinted at the methodical progression typical of the balance sheet policy shift (it will take 2 to 4 meetings). to prepare and no details on QT or just exit from the balance sheet). It calmed the market, is that yields fell
Crude oil is up about 0.26% after rising over 3% yesterday. Weekly inventory data will be released at 10:30 a.m. ET. Private data from yesterday showed:
A snapshot of the markets as North American traders enter for the day shows:
- Spot gold drops $ 2.30 -0.13% to $ 1,818.90
- Cash is unchanged at $ 22.77
- WTI crude oil futures are up $ 0.22 or 0.27% to $ 81.44
- The price of bitcoin is trading at $ 43,144. It was trading around $ 42,718 yesterday around 5 p.m. ET
In the US stock market, futures contracts imply a slightly higher opening. The NASDAQ is up two consecutive days. The S&P Index ended a six-day losing streak. The Dow industrial average ended a four-day losing streak.
- Dow up 40 points after yesterday’s 183.15 point rise
- S&P index up 5.2 points FTSE up 42.8 points
- NASDAQ Up 28 Points After Yesterday’s 210.62 Point Increase
On the European equity markets, the main indices are up / almost unchanged:
- German DAX + 0.3%
- CAC of France 0.5%
- British FTSE 100 + 0.6%
- The Spanish ibex unchanged
- The Italian FTSE MIB unchanged
In the US debt market, yields are stable.
IN the European debt market, benchmark 10-year rates are down by around -1 to -3 basis points. The American 10-year rate at 1.748% remains higher than the main European 10-year rates, the Italian rates -39 basis points being the closest (their yield is at 1.358%).