US CPI will be released at 8:30 am ET / 1230 GMT
The CHF is the strongest and the USD is the weakest at the start of the North American session. The US CPI will be released at the end of the hour with expectations that the month’s CPI will rise 0.3% with the core up 0.2%. Both year-on-year metrics are expected to remain high at 5.3% for the stock and 4.0% for the core. US stocks are higher in pre-market trading after erasing past losses. JP Morgan kicked off the earnings schedule by beating its estimates. The stock is currently up 0.8% in pre-market trading. US yields are lower ahead of the 30-year bond auction at 1 p.m. ET. This issue is currently down -3.2 basis points to 2.073%. The yield curve is flatter.
In other markets:
- Spot gold is up $ 16.66 or 0.95% to $ 1,776.40
- Cash is up $ 0.35 or 1.56% to $ 22.89
- WTI crude oil futures are trading down $ 0.60 or -0.74% to $ 80.02
- Bitcoin price is down $ 667 or -1.19% $ 55,327
In the pre-market for US stocks, major indices are higher after falling overnight. The main clues are on a three-day losing streak. Apple announced yesterday at the close that they were experiencing chip shortage issues, which could reduce iPhone sales. This stock is lower in the trade before marketing. JP Morgan shares are higher after posting better earnings and launching the earnings calendar:
- Dow Jones Industrial Average Up 63.66 Points After Yesterday’s Drop of -117.72 Points
- The S&P index is up 8.6 points after yesterday’s drop of -10.56 points
- NASDAQ index is up 70.65 points after yesterday’s drop of -20.28 points
On the European equity markets
- German DAX is up 0.75%
- The French CAC rose 0.3%
- UK FTSE 100 is down -0.1%
- The Spanish ibex is down -0.45%
- The Italian FTSE MIB is unchanged
In the US debt market, yields are mixed with the flatter yield curve. The 30-year issue traded down -3.2 basis points to 2.073%. The Treasury will auction 30-year bonds at 1 p.m. ET. The two-year yield is up 0.2 basis point. The 2-10 year spread is flatter by 1.4 basis points at 121 basis points against 123 42 basis points.
In the European debt market, benchmark 10-year yields are also lower, with UK yields down -4.5 basis points. The German yield, which is today the highest yield of the day, is -0.085%, has fallen back and is trading at -0.122%.