The kiwi leads as markets are a bit more cheerful to start the week

WCRS 17-06

Movement among major currencies remain modest as we begin the session and despite the kiwi leading gains, NZD/USD trades in a mere 22 pips range so far - currently nearer towards the topside just above 0.6500.

Risk sentiment in general is a bit more optimistic with US equity futures up by 0.2% while Treasury yields are also higher across the curve, with 10-year yields up by 2 bps to 2.10%. The greenback is a little softer in general but nothing too overwhelming so far.

I would expect a bit of a slower session to follow with little on the economic calendar to move things along. Not only that, the major focus this week will be the FOMC meeting on Wednesday so markets may just flip flop and sit in limbo for a bit until that is out of the way.

Looking ahead, just pay attention to any shifts in risk sentiment as well as potential headlines from the US or China on trade ahead of the G20 summit at the end of the month.