The USD mostly higher but the gains are limited
The North American morning snapshot is showing the NZD is the strongest while the AUD is the weakest in what has been limited trading ahead of the main action from the G20 meeting.
The ranges and changes are minimal (see chart below). Against the USD, the GBPUSD has the largest trading range at 65 pips. That is still well below its 22 day average of 127 pips. All the other pairs have ranges less than 48 pips (USDJPY has only traded in a 21 pip range and the NZDUSD only in a 20 pip range). The major cross currency pairs – including the often more volatile JPY crosses – are also well contained. With the weekend risk from the G20, it is not surprising that the markets are not moving much. However, there can be bouts of squaring up before the close that could solicit market reactions today and any comments will be scrutinized as well.
A snapshot of the other markets is showing:
- Spot gold down -$2.00 on the stronger dollar
- WTI crude oil futures are trading down $.75 or -1.46% at $50.72.. The low reached $50.31. The high extended to $51.79
- Bitcoin on Coinbase is trading lower again today. The price is down $-229 at $3951.59. The low reached $3869. The digital currency is trading back below its 200 hour moving average of $4056 and 100 hour moving average of $3989. Staying below each will keep the bears in control.
The US equity futures are implying a lower opening
- Dow industrial average, -100 points
- S&P, -7 points
- Nasdaq, -19 points
In Europe, shares are mostly lower:
- German DAX, -0.6%
- France’s CAC, 0.3%
- UK FTSE, -0.7%
- Spain’s Ibex, -0.28%
- Italy’s FTSE MIB, unchanged
In the US debt market, the 2 year is up modestly. the 30 year is down -1.8 bps. The 2-10 euros for it is down to about 20 basis points as the market shifts the tightening bias of the Fed in 2019.
A snapshot of the benchmark 10 year note yields in Europe are showing declines ranging from -0.3 bps to -1.5 bps