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The market is continuing to adopt a more risk-on approach as we look towards the closing stages of the week, with the focus now turning to the US non-farm payrolls report later.
The dollar and yen are weaker across the board, with the aussie and kiwi leading gains as equities are continuing to rally on the final trading day of the week.
US futures are up by over 1% and Fed fund futures having mildly priced in negative rates for next year certainly upset Treasury yields - especially short-term - and that is a factor to consider when viewing the dollar moving forward.
European trading may be more tepid amid the London holiday and anticipation ahead of the US non-farm payrolls report later, but let's see if how the technical levels will play out.
AUD/USD is testing its 100-day moving average, with both EUR/USD and GBP/USD testing their 100-hour moving averages, and gold is consolidating gains after testing the 30 April high.
Those are the few notable ones as we look towards the start of European morning trade.
I don't expect much from the US jobs report today as we already have gotten accustomed to blowout numbers from the weekly jobless claims over the past few weeks. But still, it is a risk event that will keep money on the sidelines until it blows over.
The 61.8 retracement level on the S&P 500 is a key technical level to watch for equities in my view, so let's see if investors can make a run above that ahead of the weekend.
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