GBP recovering
Traders decided to make a run into the CHF at the start of the week and that was helped by moves into the USD as concerns about trade, stocks and you can add Saudi relations as well. Brexit concerns had the GBP down, but the move lower could not be sustained.
The ranges are good for the start of the week. The GBPUSD, USDJPY, USDCHF are close to or reached their 22 day averages with the NA session ahead. As mentioned above, the GBPUSD has taken a loss and made it a gain. The GBPJPY is also recovering after a steep decline.
In other markets, the snapshot is showing:
- Spot gold is up $11.70 or 0.96% at $1229.70 as it follows risk concerns and the lower USD
- WTI crude oil futures are up $0.55 or 0.77% at $71.92
- Bitcoin on Coinbase has seen a recovery, but is off the highs. It surged nearly 10% to a high of $6810, up about $585 at the highs. Traders are blaming lower tether prices. Tether is "supposed" to be backed by the USD. When the dollar goes down, selling in tether results and the theory is the sellers flow funds into bitcoin instead. So they say. The price is back down to $6396 up about $175.
In the US debt market, yields in the US are marginally lower:
In the pre-market for US stocks are lower:
- Dow is down -38 points
- S&P is down -5 points
- Nasdaq is down -19 points.
