Higher yields eventually took a toll on equities yesterday, despite optimism continuing to emanate from the whole Russia-Ukraine saga. Talks are still ongoing but markets are slowly leaning towards a better resolution with the euro once again trading higher today, and the likes of oil and gold slumping.
The Fed will be in focus tomorrow and that will determine the outcome for Treasuries as well, with 10-year yields threatening a significant breakout above 2% to start the new week:
This will be a key chart to watch in the days ahead as it will have reverberations elsewhere.
For now, equities are calmer with US futures up 0.2% but that isn't saying much this early on.
There will be a couple of releases to move things along in Europe but none of which should have much impact in distracting from the current trading sentiment.
0700 GMT - UK February claimant count change
0700 GMT - UK January ILO unemployment rate
0700 GMT - UK January employment change, average weekly earnings
0730 GMT - Switzerland February producer and import prices
0745 GMT - France February final CPI figures
1000 GMT - Eurozone January industrial production
1000 GMT - Germany March ZEW survey current conditions, outlook
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.
