The S&P is up 1.1% on the day, the CRB up 0.8%. Copper, “the metal with a PhD in economics”, is up 4.6%…
Against that backdrop, the dollar is seeing less demand from a safe-haven standpoint. Yields are higher, stocks are higher and the US appears to be skirting a near-term recession.
Can this be sustained through payrolls tomorrow? That’s the open question. But given the wildly pessimistic view that has taken home in recent weeks, the bigger risk is for stronger than expected employment figures than weaker. It is unlikely we will get a strong report, just one that beats beaten down expectations.