The USD is marginally stronger with most gains vs EUR, AUD and NZD

As North American traders enter for the day, the JPY is the strongest and the AUD is the weakest of the major currencies. The changes are relatively modest.   The USD is marginally stronger despite stronger stocks.  Recently, the reaction to stronger equities has been the USD moving lower as investors move into riskier currencies.  However, nothing prevents a dollar rally if stocks are racing higher either.  Stocks are moving higher despite no new stimulus movement over the weekend, and the European Union looking to subject big tech to increasing regulation.  Good news is that Apple announces their new iPhone this week(shares are up 3.43% in pre-market trading).   Amazon Prime Days (October 13/14)  will take place this week (its shares are up 2.38% in premarket trading).  The stock earning calendar gets underway with JPM and Citigroup leading the charge tomorrow.  All that may be helping.  PS Today is Columbus Day which is a unique day when the stocks are open, but bond market is closed.  

The ranges and changes are showing a sluggish start across the curve with the major currencies all having ranges less than 54 pip ranges. The JPY pairs are all lower which is typically reserved for “risk off” trading but don’t tell the stocks. Things are a bit mixed up today.  The USDCHF, USDCAD, AUDUSD and NZDUSD all have ranges of less than 30 pips.  
The ranges and changes for the major currency pairs  

A snapshot of other markets currently shows:

  • Spot gold is trading down $-7.30 or -0.3% at $1923.10
  • Spot silver is trading unchanged at $25.15
  • WTI crude oil futures trading lower by $0.65 a -1.58% at $39.96

In the premarket for US stocks, the futures markets are trading higher in premarket activity.   The NASDAQ shares are leading the way, after an oversize 158 point gain on Friday. The futures are implying:

  • The Dow Jones up 100 points
  • S&P index is up 29 points. On Friday the indices rose by 30 points
  • NASDAQ is up 200 points after the Friday gain of 158 points

In the European equity markets, the major indices are trading mixed

  • German DAX, +0.6%
  • France’s CAC, +0.8%
  • UK’s FTSE 100, +0.17%
  • Spain’s Ibex, +0.36%
  • Italy’s FTSE MIB, +0.7%

As mentioned US debt markets are closed in observance of Columbus Day

In the European debt market, the benchmark 10 year yields are lower with the Italian 10 year claim by the most on the day (-3.5 basis points)

The 10 year yields

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