The dollar is staying on the vulnerable side as the post-Powell selling intensifies on the week. The greenback is a touch lower today but the losses are more measured as compared to what we have seen in previous sessions. S&P 500 futures are down 6 points, or 0.15%, so the risk rally is also stalling for now as we await the US non-farm payrolls report.
The bond market remains a key area to watch with the strong rally yesterday pushing 10-year Treasury yields towards 3.50% and near its 100-day moving average of 3.48%:
Yields are now up a little over 3 bps to 3.546% but still the dollar is struggling to get off the floor as the technicals are rather unfavourable for the currency at the moment.
Looking ahead, we may be in for a quieter session in Europe with the focus staying very much on the US jobs report. There will be some inflation-related data but they are slightly lagging as they point to the October period, as opposed to the easing of energy prices that we have already seen in November.
0700 GMT - Germany October import prices
0700 GMT - Germany October trade balance data
1000 GMT - Eurozone October producer prices
That's all for the session ahead. I wish you all the best of days to come and good luck with your trading! Stay safe out there.
18 - Japan's 2-1 victory over Spain is one that featured the lowest amount of possession by the winning team in a World Cup match, in which they saw only 18% of the ball.
