Markets are sensing a bit part relief on the day with S&P 500 futures up 15 points, or 0.4%, and the dollar slightly on the softer side so far today. That comes after risk sentiment soured in trading yesterday, raising questions about the overall outlook. The dollar was also a modest gainer as it continues to build on gains since Friday, though the technical range still leaves a lot to be desired.
Considering how we are in an extremely data-reliant phase, just be mindful of the German inflation data coming up later at 0700 GMT. There will be changes to how the numbers will be calculated as noted here, so we'll have to see how that impacts the overall report. If we do see a higher number than estimated, that could very well turn the tide on the risk mood as we get into European trading.
