The dollar fell back a little in trading yesterday, though major currencies in general aren’t up to much to start the new week. The mood music as we look to the European session is somewhat the same, one that is more tepid and tentative overall. The dollar is steadier for now though EUR/USD is back up near 1.1800 while USD/JPY retreated after nearing a test of its 200-day moving average, now at 147.80 levels.
In the equities space, the mood music is more tepid as well so far today with US futures lightly changed. That comes after Wall Street once again continues to run higher, though the bids tend to only come when we get to US trading. So, that’s not giving much to work with for now.
Looking to European trading today, we do have PMI data to keep things interesting. The numbers should reaffirm more stagnant growth and business conditions since August, so that won’t give the ECB much reason to get of their seats. No more rate cuts are expected by year-end and the data today should just reaffirm that sentiment.
If anything else, the only action we might get on the session again will be in the likes of gold after the scale higher above $3,700 yesterday. That before we get to US PMI data and then Fed chair Powell’s speech later in the day
