UK labour market report on the agenda today
It was a bit of a volatile start to the new week yesterday as stocks chopped up and down and that took risk currencies and the dollar along for a ride as well.
The greenback kept somewhat steadier in the end and is maintaining a modest advance against commodity currencies so far today ahead of European trading.
That said, the ranges are still somewhat narrow though they are extending a little.
This comes amid a more risk-off tilt in the market with US futures being down 0.7%. Meanwhile, 10-year Treasury yields retreated back to 1.03% yesterday and that signifies an extended pause in the reflation narrative for now.
The Fed tomorrow is still the key highlight of the week but in the meantime, we may have to navigate through some choppy waters with little else guiding the market besides general risk direction - which is tilted slightly softer currently.
0700 GMT - UK November average weekly earnings
0700 GMT - UK November ILO unemployment rate, employment change
0700 GMT - UK December jobless claims change, claimant count rate
Prior release can be found here. Wages are expected to pick up a bit more as the jobs market stabilises further towards the end of last year. However, general unemployment conditions are still largely masked by the furlough program so that makes it tough to get an accurate read on slack in the labour market.
1100 GMT - UK January CBI retailing, total distributive reported sales
Prior release can be found here. The readings here are an indicator of short-term trends in the retail and wholesale sector of the UK economy. A minor data point.
That's all for the session ahead. I wish you all the best of days to come and good luck with your trading! Stay safe out there.
