Stocks mixed after a tumultuous weekend in the US
As North American market opens the AUD is the strongest and the USD is the weakest of the major currency pairs. The US stocks are mixed in early trading as the markets digest the next COVID-19 progression, the US-China relations (which was given a reprieve on Friday after Pres. Trump did not goes as far as feared on sanctions) and an increasing divided US nation from the racial inequalities crisis. The US stocks are mixed.
Although the USD is lower, it is also trading off the lowest of levels for the day. The AUDUSD is up 71 pips (down USD. It was up over 100 pips at the extreme). The USDCAD is down by 67 pips (lower USD) after it too was down by over 100 pips at the extreme. The EURUSD, USDJPY, and USDCHF are all trading within 11 pips of the unchanged level. The JPY crosses are mostly higher with the EURJPY lower but the other JPY pairs are higher.
In other markets:
- Spot gold is up $4 or 0.24% at $1734.45
- WTI crude oil futures are down $0.21 or -0.59% at $35.25
In the premarket for the US stocks the major indices are trading mixed:
- Dow is up 20 points
- S&P is down -2.2 points
- Nasdaq is down -35 points
In the European equity markets the major indices are higher. Germany is on holiday today (along with France and Switzerland). In the other countries, the major indices are higher mostly in delayed reaction to the rise in US stocks on Friday afternoon.
- France’s CAC, +1.2%
- UK’s FTSE 100, +1.1%
- Spain’s Ibex, +1.6%
- Italy’s FTSE MIB, +1.3%
In the US debt market the yields are marginally higher with the yield curve steepening. The 30 year yield is up the most (up 2.6 basis points), while the 2 year yield is only up 0.4 basis points:
European benchmark 10 year yields are showing:
- UK 0.209%, +2.5 basis points
- Spain 0.559%, -0.3 basis points
- Italy, 1.455%, -2.1 basis points
- Portugal 0.495%, -0.9 basis points