Subtitles:
markets:
- NZD leads, EUR lags on the day
- European stocks slightly lower; S&P 500 futures up 0.2%
- US 10-year yields fell 4.3 bps to 3.795%
- Gold rose 0.4% to $1,967.18
- WTI crude rose 0.6% to $77.56
- Bitcoin fell 2.1% to $29,252
The highlight of the session today was the rather poor and disappointing PMI readings in Europe and the UK. Before the French news disappointed, the situation was calmer, and then the German one somehow managed to get worse. That saw the euro fall before the pound added as the UK report was also slow.
EUR/USD held around 1.1140 before first dropping to 1.1120 before moving further to a low of 1.1066 before now holding closer to 1.1100. The currency’s move came alongside regional bond yields as markets grow a little more wary of recession risks.
The decline in bond yields is helping to keep supply at least in the Japanese yen. USD/JPY initially held around 141.30-40 in Asia, then fell further to a low of 140.85 and remains at that level now.
As for the pound, it fell from 1.2850 to around 1.2810 against the dollar before paring losses back to the 1.2850 level now as the dollar loses a bit more.
The dollar itself was earlier steadier before remaining a bit more mixed following the deluge of PMI data. But it is now holding slightly lower on the balance of things, with USD/JPY leading the decline.
Overall risk sentiment remains stable despite some mixed tones in Europe. U.S. futures are still bullish, so that should at least help some upside ahead of Wall Street’s later open.