Stocks keep lower with the dollar and yen slightly firmer on the day
The key news came just before European traders had time to finish making their coffee, being US president Trump testing positive for COVID-19 and that tempered with the risk mood as it raises more uncertainty in the election race.
US futures slumped and that put a bid in the dollar and yen as well as Treasuries.
S&P 500 futures fell by as much as 68 points before recovering a little to a drop of 1.4% now or by about 48 points ahead of North American trading.
The risk-off wave swept across all asset classes with oil also seeing a drop of 4% to just under $37.00 at one point while 10-year Treasury yields fell to 0.65% at the lows.
Despite gains in the dollar and yen, the movement among major currencies are still relatively modest for the time being.
EUR/USD is managing to keep above 1.1700 around 1.1705-20 with large option expiries rolling off later in the day at 1.1700 and 1.1750.
AUD/USD fell to a low of 0.7131 but never really threatened a serious test of its 100-hour moving average, seen at 0.7132 currently, before keeping close to 0.7150.
Meanwhile, USD/JPY carried a drop from 105.50 to 104.94 but is keeping above 105.00 for now. AUD/JPY also fell briefly below 75.00 but is keeping above that upon a test of its 100-day moving average at 74.95.
Looking ahead, the market will have to digest the elements of uncertainty associated with the latest development in the US election race but at the same time, there will be US non-farm payrolls to deal with later at 1230 GMT.
That will make for an interesting mix of factors to impact sentiment ahead of the weekend.