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Things are quiet ahead of European trading with the overall risk mood also keeping steadier as the market settles down after the US data surprises (to the upside) yesterday.

The dollar remains in good standing and even with more of a push and pull this week, it is keeping its head above water as the Fed's taper timeline narrative stays on track going into the FOMC meeting next week.

The expectation remains that the Fed will acknowledge the start of taper discussions this month, before announcing a formal taper in November, and beginning the taper process in December; all things being equal that is.

The more interesting element in trading today will be equities/risk. US stocks have had a knack for selling off early before rebounding later in the day but amid quadruple witching today, there might be a slightly different tune if things do turn red later on.

As such, I'd argue to watch for shifts in risk sentiment to dictate price action before the weekend. That is barring any major headline surprises.

What are your views on the market right now? Share your thoughts/ideas with the ForexLive community here.