The turn came on Friday amid dovish Fed talk and that is carrying over into the new week so far as the rally in bonds gathered pace in US trading yesterday. 10-year Treasury yields were sent down by 13 bps to 4.11% and are down another 1.5 bps today to.
New Zealand ANZ business survey for October Business Confidence -42.7% prior -36.7Activity Outlook -2.5% prior -1.8 ANZ comments (in brief): Most forward-looking activity indicators slipped a little, though residential construction intentions lifted. Responses received after the unexpectedly strong CPI data were weaker on average. Inflation pressures remain intense. Pricing intentions.
Markets: Gold up $5 to $1653 US 10-year yields down 15 bps to 4.08% WTI crude oil up 46-cents to $85.04 S&P 500 up 60 points to 3856 GBP leads, USD lags The bond bid returned in a big way today and that led to a sharp selloff in the.
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The major US indices are opening mixed with the NASDAQ index leading the way. The Dow industrial average is lagging. Each of the major indices are up for 2 consecutive days. Yields are moving lower which is helping the overall tone as traders hope for a more softer Fed next.
Richmond Fed manufacturing activity Tomorrow starts three consecutive days of imporant central bank decisions (BOC, ECB, BOJ) followed by the RBA, Fed and BOE next week. So consider this a bit of calm before the storm. In terms of data, the home prices are in focus at 9 am ET.
Regional business activity -14.9 vs +2.5 prior Firm-level business activity +11.2 vs +19.5 prior Employment +13.3 vs +12.26 prior New orders -5.5 vs -1.1 prior Wage and benefit cost index 49.9 vs 49.2 prior This is a low-tier indicator but it’s showing some softness. We’ll get the Richmond Fed later..
There’s not much in it to really decipher as the pound is gaining some ground as the UK political uncertainty eases. Rishi Sunak has been announced as the new prime minister and he is set to deliver a statement in the coming minutes. GBP/USD is up 0.5% to 1.1330 levels.
The dollar is keeping more mixed and little changed as we get things going on the session, after a bit of a push and pull in trading yesterday as well. 10-year Treasury yields are down by 2.7 bps to 4.205% and that is keeping broader market sentiment in a better.
It is a familiar start to the new week as equities are seen being more optimistic again and we all saw how things turned in the second-half of last week. Some dovish Fed talk on Friday was what really helped to secure a solid week of gains and the positive.
The People’s Bank of China set the onshore yuan reference rate a mammoth 400+ points lower (i.e. higher for USD/CNY) today, to the weakest for the onshore yuan since February of 2008. Offshore yuan responded by dropping to its lowest ever (i.e. highest on record for USD/CNH) around 7.3650. In.