Risk on, and on and on

The Risk on trades are in full flow as New York enters the fray, with the positive PMI’s from around the globe being the major catalyst. Oil is peeking back above $70 a barrel, S&P futures are just off their new highs for 2009 and stand within touching distance of the 1000 level. Even Bond markets, which peculiarly hadn’t joined in the post US GDP risk on rally seen elsewhere on Friday, have now fallen into step.

Eur/Usd has been repelled by some selling interest in the 25/30 range and now is taking a breather just above 1.4300. The US ISM at 14.00 GMT will give us an insight into the health of the US factory sector, but the market may be more interested in the US car sales due later in the session.