It's a sensitive time in the market, especially for bonds and the dollar, as evident by the reaction to yesterday's ADP employment data. Right now, the sharks are out for blood and if there is any further signs of weakness in the US economy, that is enough for traders to pile on the misery for the greenback and keep the bid in bonds this week.
There is a reason why broader markets have been rather quiet all through European trading this week before things pick up later in the day when North American traders come in. All eyes are on the US data at the moment, especially more so with the anticipation ahead of the non-farm payrolls on Friday.
Today is likely to follow a similar script as we will have the weekly jobless claims numbers and PCE price index to focus on.
