The USD is mixed on risk-on flows
The CAD, AUD and NZD are fighting for the top slot in the strongest currency while the JPY is the weakest. The USD is mixed with declines vs the risk on, commodity currencies and mostly modest changes vs the other currencies. The risk-on trade is on to start the day on the Moderna headlines this morning (94.5% effective).
The ranges and changes are showing the USCAD trading at session lows and AUDUSD, NZDUSD near session highs (dollar lower). The EURUSD, GBPUSD and USDCHF are all trading within 11 pips of from Friday's closing levels. The USDJPY was lower but has reversed higher (PS it tested its 100 hour MA at 105.092).
In other markets:
- Spot gold is trading down $12.40 or -0.65% at $1876.89.
- Spot silver is down $0.34 and -1.38% $24.32
- WTI crude oil futures are trading up $1.73 or 4.3% at $41.86
In the US stock market, the major indices are trading mixed with the Dow and S&P leading the way. The technology stocks are lower as investor flows move into the mainstream stocks and out of the Covid stocks. The futures are implying:
- Dow industrial average, +493 points. The Dow industrial average is within shouting distance of 30,000. It would take a move above 521 points to reach that milestone.
- S&P +39 points
- NASDAQ index -7 points.
In the European markets the major indices are also trading higher as investor flows into the beaten-down stock markets of 2020:
- German DAX, +1%
- France's CAC, +2.2%
- UK's FTSE 100, +1.8%
- Spain's Ibex, +3.5%
- Italy's FTSE MIB, +2.2%
In the US debt market, yields are higher with a steeper yield curve
In the European debt market, the benchmark 10 year yields are also mostly higher with the exception of the Italian yield:
