It's setting up for a painful day in the equities space
Not a good start to the day for equity investors as risk off flows continue to dominate the trading landscape today. Of note, E-minis are down by 1.1% currently while US 10-year yields are down by 4.7 bps to 3.150%.
As mentioned earlier, the equities selloff will continue to fuel bids in the yen on the session and I don't expect that to change ahead of US trading. Once again, the key to trading today - as is the key to risk sentiment - will be the performance of the US cash equity market.
Right now, futures are pointing to a heavy slump at the open and that doesn't bode well for what could be the start of a deep rout/correction in US equities.
