The GBP is the strongest. The NZD is the weakest.
As North American traders enter for the day, the GBP is the strongest after the BOE surprise vote (even though retail sales were weak). The NZD is the weakest. The USD is mostly stronger. AUD has given up a lot of employment gains. SNB still harping on their currency. US stocks are looking weak in pre-market trading.
The US stock market slide will be eyed this morning although there is a bunch of statistic out before the opening (Empire mfg. initial claims, import prices, Philly Fed index, cap util and industrial production in the US.....phew).
In any case, the Nasdaq futures are down about 60 points in pre-market trading. The Nasdaq has been under pressure since the end of last week. There was a correction earlier in the week but that rally stalled at a familiar resistance level.
Looking at the hourly chart below, the index - on the correction higher this week - stalled right against its 100 hour MA. Moreover, with a decline of -60 points in pre-market trading, the index is expected to open below its 200 hour MA. Be aware.
The S&P futures are also down (-13 points) and Dow futures are down -90 points.
A Pavlovian reaction from traders often is if stocks are down, there is a move into the JPY. Today we are not seeing that (the JPY is mostly lower). Bond yields are higher in early trading with the 2 year up 3.4 bp and the 10 year up about the same. The USD JPY seems to be following the yield higher. The 100 and 200 hour MA on the JPY is at 109.94 area. A move below that level would turn the tide more to the downside. Be aware. Markets are a little wild now. Put on your seat belts.
PS European stocks are getting smashed with the German Dax down -1.22%. UK FTSE is down -1.11%. Paris CAC is down -1.19%.
