Traders seem quite comfortable carrying “risky” trades into the close as currencies are showing little pullback late in the US session. Stocks are up about 2.5%, oil is up 5%, EUR/JPY has reached just above 130.50 before stalling. Commodity currencies are firmer but have yet to retest recent highs.
That is pretty much the story of the day. Risk trades have rallied after last week’s pullback but still have some work to do to get back to last week’s highs. It looks as though we will trade from day to day, watching the headlines.
EUR/USD consolidates at 1.3530, USD/JPY at 96.37, Cable at 1.5300 and AUD at 0.7640.
