Most major currencies started the day lower and risk appetite declined. The Aussies and Kiwis are making decent moves, carrying on yesterday’s momentum. Meanwhile, the dollar is stable, with EUR/USD holding around 1.0800 and USD/JPY still hovering around the 150.00 mark.
There is tentative caution in the stock market as we await Nvidia’s results later in the day. In the bond market, U.S. Treasury yields haven’t risen all that much, which isn’t contributing to the overall mood.
Instead, it’s in the commodities space that we’re seeing notable developments this week. Gold rose again by 0.3% to $2,030 and looks set to continue its rally. Natural gas, on the other hand, may be on its way back up after falling sharply over the past month or so.
If you look at European trade, there won’t be much data that will shake things up. Therefore, unless there is a significant change in yields or risk sentiment, we are likely to see another period of quiet trading. This is all leading up to the release of the FOMC minutes later in the day.
1100 GMT – UK February CBI Total Order Trends
1200 GMT – US MBA Home Loan Applications February 16th
That’s all for the upcoming sessions. We wish you all great days ahead and good luck in your dealings. Please stay safe.
