Market mood positive amid calm before US election storm

3rd November 2020 – Macro Daily Markets This Morning USD has broadly been on the back foot in recent trade, with DXY losing the 94.00 handle since Europeans arrived at their desks. There is a risk that choppiness continues ahead of tonight’s US Presidential election result. FX markets could thus be described as somewhat riskContinue reading “Market mood positive amid calm before US election storm”

Battered market licks wounds ahead of US GDP, ECB, big Tech earnings

29th October 2020 – Macro Daily Market Update Markets are this morning in a more positive mood, with risk assets broadly paring back some of yesterday’s steep losses, despite both France and Germany confirming earlier rumours that both countries will be heading into national lockdowns imminently. The Stoxx 600 trades higher by around 0.5%, whileContinue reading “Battered market licks wounds ahead of US GDP, ECB, big Tech earnings”

Ugly scenes in European markets as continent crashes towards Covid lockdown

Market Update European equities are taking a further battering on Wednesday morning (Stoxx 600 -1.9%), with most indices trading at levels not seen since early June (though France’s CAC 40 hit lowest levels since May and the FTSE 100 hit lowest levels since April). European bond markets are also reflective of this morning’s strongly riskContinue reading “Ugly scenes in European markets as continent crashes towards Covid lockdown”

BoC takes the back seat with CAD focused on external factors

27th October 2020 – Bank of Canada Rate Decision Preview At 1400GMT/1000EDT on Wednesday the 28th of October, the Bank of Canada releases its latest interest rate decision and statement on monetary policy, as well as its latest Monetary Policy Report (MPR) containing updated economic forecasts. The meeting will be followed by a press conferenceContinue reading “BoC takes the back seat with CAD focused on external factors”

Dollar demand steady as equities look heavy

27th October 2020 – Macro Daily Market Update Equities were nursing a mild recovery this morning, after the worst day on Wall Street since September. However, since the European cash open, sentiment has again taken a turn for the worse. US S&P 500 futures trade just 0.1% higher and the Stoxx 600 is now lowerContinue reading “Dollar demand steady as equities look heavy”

26th October 2020 – G10 FX Correlations Weekly

Correlations breaking down ahead of US Presidential election 26th October 2020 – G10 FX Correlations Weekly Correlations between major G10 FX pairs and equity and commodity markets broadly weakened last week, as focus increasingly turns to next week’s US Presidential election. G10 to equities As Charts 1 and 3 show, DXY’s negative 30-day rolling correlationContinue reading “26th October 2020 – G10 FX Correlations Weekly”

Risk appetite rattled as Covid-19 cases surge in Europe

26th October 2020 – Macro Daily: Week Ahead Market Update Amid renewed focus on the worsening state of the Covid-19 pandemic, we are seeing a broadly risk off start the week; European indices trade with heft losses (Stoxx 600 -0.5%), US index futures (-0.9%) and crude oil markets are also in the red, while USContinue reading “Risk appetite rattled as Covid-19 cases surge in Europe”

Sentiment subdued despite better-behaved debate

US Presidential Debate Last night’s US Presidential debate was significantly more restrained in comparison to the first (almost certainly due to the fact that Trump and Biden both had their mics muted when they were not speaking). Both candidates were seen as more Presidential this time around, though some might view Trump’s comparatively larger improvementContinue reading “Sentiment subdued despite better-behaved debate”

FX unfazed as global stock sentiment sours

22nd October 2020 – Macro Daily Market Update It was another choppy session on Wall Street last night, as investors remain seemingly undecided as to whether or not US fiscal stimulus talks are a complete farce (many have suggested Congressional insiders, as well as numerous market commentators, have suggested that talks are all about pre-electionContinue reading “FX unfazed as global stock sentiment sours”

Perky yuan/risk appetite exacerbates USD’s woes

21st October 2020 – Macro Daily Market Update Risk appetite pretty mixed this morning, with major European equity indices a little softer (Stoxx 600 -0.2%), but US index futures trading with gains (S&P 500 futures +0.4%). US and German bond yields are broadly higher (and curves steeper), as is gold (+0.6%) and crude oil marketsContinue reading “Perky yuan/risk appetite exacerbates USD’s woes”