Softer tones observed in early trades
- German DAX futures -0.2%
- French CAC 40 futures -0.7%
- UK FTSE futures -0.2%
This very much reflects the mood seen in US equity futures, which are down by 0.4% as we begin the session. The risk mood is tempered by negative headlines from the US-China rhetoric regarding Huawei earlier here.
As such, be wary of a potential shift in currencies later on to be more risk averse as equities and bonds are displaying a more defensive mood to start European trading. USD/JPY holds lower at 105.92 currently but is in part weaker due to the dollar's sluggishness.
