The risk mood stays more cautious, defensive for now
The US-China trade rhetoric remains the major theme engulfing markets with Trump signing off on the HK bill prompting some caution in markets, as China also responded with fighting words and warning of possible retaliation.
That said, it is not the first time that China has continued with verbal threats - no specifics as well - and so far markets have been keeping calm despite some trepidation.
USD/JPY continues to linger between 109.40-50 while the franc is holding mild gains amid weaker European stocks to start the day.
The euro is also seeing bit-part gains owing to possible month-end flows with the pound also seemingly choppy in early morning trade thus far.
Do be reminded that it is also Turkey Day in the US today so liquidity conditions is a bit thinner in general. Expect tomorrow to be more or less the same as well with most traders likely to take an extended break into the weekend.
