The USD is mixed to lower in early NY trading
As North American traders enter for the day, the NZD is the strongest and the JPY is the weakest of the major currencies. The USD is trading mixed with a downward tilt. The greenback is lower most vs the NZD (-0.68%) and CAD (-0.26%), and down more modestly verse the AUD, GBP and EUR. The dollar is higher vs the JPY (+0.57%) and CHF (+0.29%). The CHF moved sharply higher yesterday after breaking back above its 100 day MA and running to the upside. The GBP had a rollercoaster ride with a sharp move higher in the Asian session on stop buying (EURGBP was on the move as well), but has since given up some of those gains in some of the pairs. The GBPJPY and GBPCHF remains higher as they have seen moves in the USDJPY and USDCHF that are keeping them higher still on the day. Fed's Powell will once again testify on Capitol Hill. Yesterday he calmed the markets saying the Fed is still a long way away from inflation being a problem, and full employment. His testimony will begin at 10 AM. New home sales will also be released at that time. At 10:30 ET the weekly will inventory data will be released.
The changes in ranges chart below shows the large trading ranges in the GBP pairs as they were caught in stop triggers but the prices have started to move back. The GBPJPY and GBPCHF still hold onto most of their gains but are off the highs. The strength in the USDJPY and USDCHF are continuing to help those pairs (USDJPY is at the high as is the USDCHF).
In other markets:
- Spot gold is trading down $1.87 or -0.10% at 1803.70
- spot silver is trading unchanged at $27.66
- WTI crude oil futures are trading up $0.58 or 0.94% at $62.01 for the April contract
- the price of bitcoin has moved back up by about $1800 or 3.74% to $49,800
In the premarket for US stocks, the futures for the major indices are implying a higher opening
- The S&P index is up 15.88 points up 0.13%. Yesterday the index rose 4.87 points or 0.13% after being down as much as 1.8%
- Dow industrial average is up 67 points after rising for the 3rd day in a row by 15.66. It is been up 6 of the past 7 trading days points
- NASDAQ index is up 91.5 points. The NASDAQ index fell -67.849 points (or -0.5%) yesterday after being down close to 4% at the session lows
In the European equity markets the major indices are moving higher after yesterday's trading mixed results
- German DAX, +0.7%
- France's CAC, +0.2%
- UK's FTSE 100, +0.28%
- Spain's Ibex, +0.4%
- Italy's FTSE MIB, +0.5%
In the US debt market, yields are trading back higher with the yield curve steepening. The biggest gains are in the 30 year sector (up 6.5 basis points). The 10 year yield is up 3.4 basis points.
In the European debt market, the benchmark 10 year yields are higher across the board with UK yield up the most at +3.2 basis points.
