The USD is mostly higher in the morning snapshot
The JPY is the strongest and the GBP is the weakest as NA traders enter for the day. The BOE kept rates unchanged but raised QE by the expected 100B. The GBP initially moved higher from lower levels on the day, but quickly reversed back to the downside. The general bias now is on the risk off as stocks move lower with European stocks heading to lows and the US pre-market futures off overnight lows but heading back toward those levels.
The ranges and changes are showing the GBP pairs doing most of the moving today (GBPUSD is tradng at the low and down -120 pips on the day and the GBPUSD is also at the lows for the day at -124 pips). The EURUSD, USDJPY and USDCHF have modest ranges of 43 pips or less. The USDCAD has had a decent range at 87 pips but is trading near unchanged in a up, down and back up session for the day. Lots of choppy up and down in a number of the pairs today as traders struggle with the directional bias
In other markets:
- Spot gold is trading down $8 or -0.46% at $1718.55. The high price reached $1729.77. The low price extended to $1713.20.
- WTI crude oil futures are trading down $0.07 or -0.18% at $37.89
In the premarket for the US stocks, the futures are implying a lower opening:
- Dow is down -213 points
- S&P is down 21 points
- Nasdaq is down 23 points
In the European equity markets the major indices are also trading to the downside:
- German DAX, -1.3%
- France's CAC, -1.4%
- UK FTSE, -0.9%
- Spain's Ibex, -1.9%
- Italy's FTSE MIB, -1%
In the US debt market the yields are trading near lower with a flatter yield curve. The 2 – 10 year spread is at 50.86 basis points vs. 54 point to a basis points at the close yesterday:
In the European debt market, the benchmark 10 year yields are trading higher mostly lower with the UK 10 year yield the exception at +1.7 basis points.
