The AUD is the strongest and the EUR is the weakest as the North American session begins. The USD is mixed to lower as the commodity currencies (risk on) attract the majority of the flows from traders. The RBA kept rates unchanged (and QE unchanged as well) as expected but buying from risk on sentiment has been dominant. The USD is higher mostly vs the EUR to start the session (+0.27%).
Stocks are up strongly in Europe and the US. Yesterday the Dow led the way with a gain of 1.87%. That index is up again today, but is being matched/surpassed by a surge in the Nasdaq which is up 285 points today (implied by the futures at least).
US yields are up modestly in early trading.
Gold and silver are up modestly. Oil is back above $71.50 as it recovers on less omicron fears despite the rising case count. The expectations are that the variant will have more mild symptoms.
Canada ($2.2B) and US trade (-$66.9B) data will be released at 8:30 AM ET, with the revised 3Q Non farm productivity data (-4.9% vs -5.0% previously reported) out of the US. Later at 10 AM ET, the Canada Ivey PMI (est 60.2 vs 59.3 last month)will be released. Finally at 3 PM the US consumer credit data will be released (est $24.9B vs $29.9B last month). The US treasury will auction 3 year notes at 1 PM. The auction is the first major note/bond auction this week with 10 years auctioned off on Wednesday, and 30 year bonds auctioned on Thursday.
In other markets:
- Spot gold is up $4.30 or 0.25% at $1782.60
- Spot silver is up six cents or 0.25% at $22.43
- WTI crude oil futures are up a $1.24 or 1.75% $71.23
- Bitcoin is trading back over 50,050 at $51016. The high price reached for $51,606 so far today
In the premarket for US stocks, the futures are implying a sharply higher opening
- Dow is up 345 points after rising 646.95 point yesterday
- S&P index are trading up 59.75 points after yesterday's 53.24 point rise
- NASDAQ index is trading up 282 points after yesterday's 139.68 point rise
In the European equity markets, the major indices are also sharply higher:
- German DAX, +2.08%
- France's CAC, +2.25%
- UKs FTSE 100 +1.17%
- Spain's Ibex +0.85%
- Italy's FTSE MIB +1.8%
In the US debt market, the yields are marginally higher after yesterday's sharp run up saw the 10 and 30 year yield move up close to 10 basis points.
In the European debt market, the benchmark 10 year yields are mixed.
