The USD is mostly higher
As North American traders enter for the day, the JPY is strongest while the GBP is the weakest. The USD is mostly higher with gains against all the major currencies with the exception of the JPY. Relatively speaking, the pairs are bunched together indicative of a market that is more unsure of the directional. There are lots of ups and downs in most of the currency pairs.
The bunching together is also manifested in low trading ranges. Looking at the charts below, the EURUSD, USDJPY, USDCHF, USDCAD, AUDUSD and NZDUSD all have ranges at 37 pips or below. That is not a lot of movement. The ranges are well below 22 day averages. Cross currency pairs are also well below their 22 day averages (about a month of trading). There is room to roam (and extend the range and trend) in the NY session. Be aware. The GBP pairs have the most movement (down -44 pips) but it too has lots of ups and downs.
In other markets:
- Spot gold is down -$4.36 or -0.36% at $1194.25
- Crude oil is up $0.68 or 0.97% at $69.90. Toward the US close yesterday, the private inventory data showed a sharp drawdown in inventories. The DOE will release their inventory data at 10:30 AM ET/1430 GMT.
- Bitcoin is down -$11.56 on Coinbase at $6238.44. The price is below the 100 hour MA at $6292.52 (blue line in the chart below). Move above that MA and stay above opens the door for more upside. Absent that, the sellers are still more in control.
In the pre-US stock market, major indices are close to unchanged
- Dow is up 10 points
- S&P is unchanged
- Nasdaq is near unchanged levels as well
In the US debt market, yields are mostly lower with the yield curve flattening. The 2-10 year spread is down -1.5 bps:
