Factory orders are the main event
Markets have given back most of Monday's optimism. The first thing I look at when I flip on my screens at the moment are Treasury yields and the battle around 0.53% in 10s. They're down 2.1 bps to 0.5330% at the moment.
The FX market is subdued with the loonie giving back yesterday's strength (it was a holiday in Canada) and cable on the backfoot.
S&P 500 futures are down 12 points after a 23-point gain Monday.
There are two big things that market is waiting for:
1) The stimulus negotiations in the US continue and look to be stalling. The more time that passes, the more likely it is to be smaller and shorter. Everyone still assumes a deal is eventually coming.
2) Non-farm payrolls on Friday are more uncertain than in recent months. The consensus has settled around 1.5m but estimates range from -500K to +4.0m.
