Markets:

  • USD leads, NZD lags on the day
  • European equities higher; S&P 500 futures down 0.07%
  • US 10-year yields down 4 bps to 3.741%
  • Gold up 0.52% to $2,647
  • WTI crude down 0.70% to $67.71
  • Bitcoin up 0.69% to $63,747

We had a relatively quiet session in terms of fresh data releases. The main highlight was the Eurozone Flash CPI report, and the data came out in line with estimates. The market has already fully priced in a back-to-back 25 bps cut in October and that’s also something ECB members recently have been touting to.

In the markets, the US Dollar added to the gains following Fed Chair Powell’s comments yesterday with EUR/USD being the most notable mover. Another notable mover this morning has been crude oil as it sold off to a new weekly low before erasing almost the entire drop. There was no catalyst for the move though.

The focus will now switch to the US data in the American session with the US ISM Manufacturing PMI being the main highlight. We will also get the Canadian PMI and the US Job Openings data.