The market continues to chop around ahead of US trading once again
- The risk mood remains on edge ahead of North American trading (25 June)
- Another choppy risk session going into North American trading today (26 June)
The last few sessions (⬆) have seen more choppy price action in risk in European morning trade and today is no different. Stocks began with a more tepid now before inching slightly higher in the opening hour, then back lower and now back higher again.
The DAX is now up by 0.6% while US futures are keeping around 0.3% to 0.4% gains as the focus now slowly shifts back towards the North American session later.
In turn, that is still leaving little direction for currencies in general with the dollar still largely keeping on the softer side of things but nothing too notable.
The only pair that is seeing a material near-term change is EUR/USD as it trades near the highs at 1.1268 currently in an attempt to break key near-term levels.
But that owes much to the continued push higher in EUR/GBP, as the pair extends its breakout from last week to fresh two-month highs; underpinning the euro in the process.
As for risk direction in general, I'd be mindful of the gains seen so far today. They're pointing to some green shoots but the US' failure in dealing with the coronavirus crisis over the past two weeks is a hard narrative to ignore - as we saw on Friday trading as well.
