It's going to be all about the risk mood today as the market continues to digest the post-Fed sentiment.
Powell & co. were leaning more hawkishly and that was enough to send equities reeling and the dollar surging. And that is still very much persisting as we look towards European morning trade.
EUR/USD is trading down to its lowest in two months, closing in on support near 1.1200 next. Meanwhile, AUD/USD has tumbled below 0.7100 and is down 0.6% to 0.7070 as sellers eye the 0.7000 handle.
Elsewhere, European futures are slumping heavily alongside its US counterparts, so that will make for a rough look and feel to start the session later.
I would argue that the technicals are the spot to watch now with the S&P 500 set to retest key support levels.
0700 GMT - Germany February GfK consumer confidence
0700 GMT - Switzerland December trade balance data
1100 GMT - UK January CBI retailing reported sales
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.
