The USD is mixed
The day after Pres. Trump called off talks for additional stimulus saying the Dems were not negotiating in good faith, US stocks are back higher, yields are higher, gold is higher. The USD is mixed to lower with declines vs the EUR (despite lower German industrial production), CHF, CAD and AUD, unchanged vs the GBP and NZD and higher vs the JPY. The strongest currency is the AUD. The weakest is the JPY. Buckle up.
The ranges and changes are showing mixed price activity. The EURUSD is trading near the highs while the GBPUSD is little changed and closer to its lows after giving up earlier gains. The USDJPY is also near highs, while the USDChF is lower. The JPY crosses are higher which tends to be a "risk on" trade.
A snapshot of other markets currently shows:
- Spot gold is trading up around $10 or 0.53% at $1888.05
- Spot silver is of $0.51 or 2.21% at $23.57
- WTI crude oil futures trading lower by $0.89 or -2.21% of $39.76
In the premarket for US stocks, the futures markets are rebounding higher with the NASDAQ lagging after the house said Facebook, Amazon, Apple, Google enjoying monopoly powers. On the positive side, Pres. Trump did say that he would be willing to sign a relief bill for airlines, he would approve a one-time $1200 check to all Americans (eligible Americans that is):
- The Dow Jones up 245 points reversing a lot of the -375 point decline yesterday
- S&P index is up 26 points after the -47.68 point decline yesterday
- NASDAQ is up 84 points after declining by -177.88 yesterday
In the European equity markets, the major indices are lower after the gains yesterday and on Monday
- German DAX, -0.4%
- France's CAC, -0.35%
- UK's FTSE 100, -0.1%
- Spain's Ibex, -0.2%
- Italy's FTSE MIB, -0.2%
In the US debt market, the snapshot of yields are showing gains and a steeper yield curve. The 2-10 year spread widened to 62 basis points from 50.86 basis points that the close yesterday. Today the US treasury will auction off 10 year notes (reopening of an issue):
In the European debt market, the benchmark 10 year yields are marginally higher across the continent:
