Headlines:
- USD/JPY consolidates after the Tuesday plunge, what's next?
- Japan finance minister Suzuki says sees no change to existing BOJ monetary policy
- China estimates nearly 18% of population contracted Covid in first 20 days of December
- Spain Q3 final GDP +0.1% vs +0.2% q/q prelim
- North Korea reportedly fires ballistic missile
Markets:
- NZD leads, JPY lags on the day
- European equities mixed; S&P 500 futures up 0.1%
- US 10-year yields up 2.8 bps to 3.710%
- Gold up 0.3% to $1,798.17
- WTI crude up 2.2% to $79.24
- Bitcoin up 0.3% to $16,840
It was a quiet session in Europe again as the year continues to wind down ahead of the Christmas weekend.
Equities were tentative and we saw some mixed moves in the bond market, with major currencies also not painting a coherent picture. That's year-end for you I guess.
US futures are little changed as the technical picture continues to look ominous as pointed out earlier here.
The dollar is slightly lower, only trading higher against the yen as USD/JPY consolidates losses after Tuesday's freefall. Overall, changes are light with EUR/USD still vying for an upside break above 1.0600 and GBP/USD inching back towards its 200-day moving average of 1.2072 after yesterday's drop.
AUD/USD continues to keep a bounce off its 100-day moving average at 0.6652, up 0.4% to 0.6690 now. Meanwhile, NZD/USD is keeping a bounce off its 200-day moving average at 0.6251, up 0.7% to 0.6285 currently.
US core PCE prices will be the final data point to watch later in the day, all before we start counting down to the long weekend.