What started as a grass-roots uprising against the Mubarak regime has taken on an Islamist tinge, CNBC reports. The banned Muslim Brotherhood has become active in the protests, according to reports.
That seems to have upped jitters among traders, ever more fearful that oil cargoes through the Suez Canal could be disrupted.
We’re in the midst of a flight to safety with the market quiet long now of EUR/USD. If options-related interest is filled in around 1.3650, stops at 1.3630 look vulnerable.
Oil is up, stocks are down and US yields are lower on the day…Looks like a classic flight to quality.
