Headlines:
Markets:
- NZD advances, USD lags during the day
- European stocks lower; S&P 500 futures up 0.1%
- US 10-year Treasury yields rise 2.8 basis points to 3.677%
- Gold rises 0.4% to $2,578.75
- West Texas Intermediate crude fell 0.9% to $69.22.
- Bitcoin down 0.7% to $59,913
It’s all about the countdown to the Fed meeting, and we are seeing some mixed moves in the markets ahead of the main event later.
The US dollar is weaker across the board despite the firming of US Treasury yields during the session. The USD/JPY pair remains flat since the Asian session, remaining at the 141.60-80 levels during the session.
The UK inflation data was the highlight, and that helped support the pound a little. Services inflation remains a problem for the Bank of England, and that has increased the chances that the central bank will hold its ground tomorrow. The GBP/USD pair has risen from 1.3160 to just above 1.3200 currently.
Additionally, the US dollar remained slightly weak across the board with the Australian currencies gaining some modest momentum. The AUD/USD pair rose 0.5% to 0.6785 while the NZD/USD pair rose 0.7% to 0.6225 on the day.
This comes as US futures remain more bullish, while European indices look somewhat sluggish. As for European indices, investors may adopt a more cautious approach as the Fed decision will be released after the European markets close.
Tick tock, tick tock. We can’t help but mention that the end of the FOMC meeting is near.