S&P 500 futures are up by 0.3% on the session
The risk mood is still a bit of a mixed picture with equities and commodity currencies following a more calm tone and dip buyers are helping out with that as E-minis continue to find support since Asia Pacific trading today.
However, Treasury yields continue to bounce around between flat levels and around 2 bps lower across the curve, leaving for a bit of nerves in USD/JPY with the pair holding lower closer to the 106.00 handle.
I would interpret this as markets taking a bit of a breather after the tumultuous events at the start of the week but the bond market is cautioning against getting too carried away with gains (for risk assets that is).
I reckon this may lead to more choppy trading once again later in the day but be prepared for any fresh catalysts on the US-China trade rhetoric as it continues to be the main driver of markets this week.
