Headlines:
- Treasury yields pare declines, all to play for in US trading later
- RBA's Bullock: Inflation is still too high, that will be my first priority as governor
- RBA's Bullock: Climate change likely to lead to more volatile inflation outcomes
- Germany September GfK consumer sentiment -25.5 vs -24.3 expected
- France August consumer confidence 85 vs 85 expected
- China reportedly to cut borrowing costs on mortgages as soon as today
- Japan reportedly considers to extend fuel subsidies until year-end
Markets:
- USD leads, JPY lags on the day
- European equities slightly higher; S&P 500 futures down 0.1%
- US 10-year yields flat at 4.211%
- Gold down 0.1% to $1,917.10
- WTI crude up 0.6% to $80.61
- Bitcoin down 0.1% to $25,962
It was a quiet session for the most part but things are starting to pick up now in the handover to North America trading.
Major currencies saw little appetite despite London coming back today while equities also looked more tentative after a bit of an optimistic start. US futures were up around 0.2% earlier on but are now down slightly as we see Treasury yields turn around as well on the day.
10-year yields were down to around 4.175% earlier on but are now flat at 4.211% and that is helping to underpin the dollar as well.
USD/JPY in particular is jumping up to around 147.00 from around 146.50-60 levels earlier in the day, while GBP/USD is retreating back to 1.2590 from a high of 1.2635 earlier in the session.
Outside of the two pairs, the dollar is little changed and stuck in narrower ranges against the rest of the major currencies. Even AUD/USD which was up to around 0.6455 earlier is now down 0.6420 but that represents a measly 35 pips range on the day.
With month-end and the US jobs report still the bigger focus points this week, there's still plenty to play for in the meantime.
