The USD is stronger
As North American traders enter for the day, the JPY is the strongest, while the NZD is the weakest. The USD is mostly higher with gains against all the major currency pairs with the exception of the JPY.
The FOMC decision will be later today with no change largely expected. The earnings calendar continues to be an influence. Boeing posted a large loss and had its 1st annual loss since 1997, but the stock price is still higher as traders focus on the future than the present. Meanwhile Apple is also higher after blowing out earnings after the close yesterday. Tesla, Microsoft, Facebook all scheduled to release after the close. Amazon release their earnings tomorrow.
The coronavirus is up to 106 deaths and 6000 confirmed cases. Although the numbers keep moving higher the mortality rate is a lot less than SARS which killed nearly 10% of those infected.
The ranges and changes are showing limited price action with ranges in the major pairs at 38 pips or less with the AUDUSD leading the way. The USD is trading close to the session highs against most of the majors. The EURUSD, GBPUSD, USDCHF, USDCAD, AUDUSD and NZDUSD are within a few pips of the USD high extreme.
In other markets
- spot gold is up $2.90 or 0.18% at $1570.06
- WTI crude oil futures are trading up $0.19 or 0.36% at $53.67
The futures in the premarket for US stocks are implying a higher opening:
- Dow +166 points
- NASDAQ was 47 points
- S&P +14 points
European shares are also trading little bit higher:
- German DAX, +0.16%
- France's CAC, +0.6%
- UK's FTSE 100, +0.15%
- Spain's Ibex, +0.67%
- Italy's FTSE MIB, +0.4%
In the US debt market yields are trading back to the downside today after yesterday's rise. The yield curve is marginally flatter as well:
European benchmark 10 year yields are also trading to the downside. The France's 10 year yield is down to -0.118%.
