Jobless claims eyed. Brexit deal. US stimulus deal getting closer?
As the North American traders enter for the day, the NZD is the strongest and the USD is the weakest on risk on sentiment. Commodities are higher with copper reaching the highest level in 8 years. Bitcoin continues to run higher after cracking to a new all time record high and surpassing $20K. The price pushed to $23776 in trading today. Iron ore is near 8 year highs. Yesterday, Fed Chair Powell said they would continue to support the economy, they don't expect to raise rates for a number of years and although they raised expectations for growth, lowered unemployment and notched up inflation expectations, they still expect inflation to remain at or below 2%. The SNB kept rates unchanged as well today saying it will the CHF remains highly valued and if the SNB had not intervened the currency would be mush higher. Yesterday, the US called the SNB a currency manipulator.
The ranges and changes are showing the USD near low levels for the day vs the EUR, JPY, CAD, AUD and NZD. The GBP has come off highs as the Brexit negotiations are giving out mixed signals, but are moving closer to a finish line. The BOE kept rates unchanged as per expectations with the vaccine lowering the downside risk but with conditions still uncertain.
In other markets:
- Spot gold is trading up $16.34 or 0.88% at $1881.27
- Spot silver is up $0.53 or 2.15% of $25.87
- WTI crude oil futures are up $0.27 or 0.56% $48.09
- Bitcoin on Coinbase is trading up $1920 and $23150. The high price search to $23,776.94. The low price reached $21,151.54
IN the premarket for US stocks, the futures are implying a higher opening:
- Dow, +107.46 points
- NASDAQ index +62 points
- S&P index, +18 points
In the European equity markets, the major indices are also trading higher. Yesterday, the German Dax moved above 2020 resistance and looks toward the high for the year near 13800. The high today reached 13725.84.
- UK FTSE 100 +0.11%
- German DAX, +0.75%
- France's CAC, +0.5%
- Spain's Ibex, +0.1%
- Italy's FTSE MIB, +0.5%
In the US debt market, yields are trading near unchanged levels (marginally higher)
In the European debt market, the benchmark 10 year yields are all trading lower.
