|Day's range||6,248.80 - 6,284.40|
|52-week range||5,639.40 - 6,358.00|
Trump had the markets guessing again and more surprises are likely to be on the horizon, as the markets prepare for tomorrow’s trade talks.
A lack of data through the day will leave the markets focused on geo-political risk, a number of risks providing food for thought at the start of the week.
While inflation numbers are due out of the Eurozone and Canada, it’s all eyes on the U.S Dollar, with the markets getting ready for U.S – China trade talks.
The Dollar slides early, with the Asian equity markets rebounding from heavy losses early as hopes of a U.S – China agreement on trade surface.
Investors are playing a cat-and-mouse game with the Turkish Lira because no one is certain how the situation will play out over the short-term.
Inflation numbers out of the UK will need to jump to hit pause on the Pound’s demise, while U.S retail sales could influence a resurgent Dollar.
The collapse of the Turkish lira spreads its toxic influence on the European and EM financial markets. The Turkish lira has lost 11% to 7.11 per dollar since the start of trading on Monday but somewhat stabilized after the country’s Minister of Finance gave an assurance that the government was working on a draft plan to stabilize the situation.
The Turkish Lira is on the slide again as the Asian markets respond to Friday’s late moves, risk appetite on the slide and the Yen and USD up early.
It’s a big day on the data front, with the GBP, the USD and the Loonie in focus, the Pound in dire need of some positive numbers to ease the pain.
The Dollar finds early support, while the Kiwi slumps on a broadcasted delay to a rate move until 2020. Trade war chatter remains in focus for the USD.
The China trade surplus sees a sharp narrowing as imports surge, with trade war chatter likely to influence, the economic calendar relatively quiet.
Following some disappointing stats out of Germany last week, today’s industrial production and trade figures could add more pressure on the EUR.
A quiet day on the economic calendar leaves the EUR exposed to factory order numbers out of Germany and the USD in Trump’s hands.
Nonfarm payroll, wage growth and service sector PMI numbers put the Dollar in Focus through the day, though there is always the Oval Office to consider.
Trade war jitters hit risk appetite through the Asian session, with Carney and the Pound in focus later in the day on Super Thursday.
Manufacturing numbers out of China affirm softer growth at the start of the 3rd quarter, with the markets now looking ahead to the FED.
Ahead of a particularly busy week, focus through the day will be on inflation figures out of the Eurozone and housing data out of the U.S.
It’s all about the USD today, with GDP numbers north of 4% likely to see a jump in the USD and U.S equity markets. Sub-4% and Trump might blame the FED.
With the Dollar recovering from early losses, is the EUR in for a surprise later today, with Draghi tending to favor jawboning the EUR?
Stats out of NZ and Australia weighed on the respective currencies early, with the Dollar making an early move. It’s all in Trump’s hands later.
While the Loonie is on for a move later today, with inflation and retail sales figures expected to support a more hawkish BoC, trade war jitters will continue to grab the headlines, with stats elsewhere on the lighter side through the day.
Employment numbers give the Aussie Dollar a boost as focus shifts to today’s stats out of the UK. Another set of weak numbers and the Pound could be looking at sub-$1.30 levels, progress on Brexit doing few favors.