Yesterday’s session saw a major reversal in sentiment, with headlines about the US potentially entering the conflict between Israel and Iran. US President Trump left the ongoing G7 meeting and went back to Washington.
rallied by $3.5 as markets are re-taking what they gave yesterday. The energy commodity is trading around $75 – ~$1 from levels attained as the war headlines hit the markets on Thursday evening.
The is higher by 10%, and equity indices are down shy of 0.5% on the session, and the is back below the 6,000 Key mark.
is also a surprise performer yesterday as it finishes close to unchanged but down small despite the more dramatic mood in markets, with the US 30-Year bond grabbing its seat.
The Bonds are up close to 1% on the day.
Daily Cross-Asset Performance
Source: TradingView
A Picture of Yesterday’s Performance for Major Currencies
Source: OANDA Labs
The is back on top of majors in a typical risk-off Forex Currency board, with the and following closely.
The is the worst performer of the day (-1.14%) as markets brace for tomorrow’s UK CPI data.
Other commodity currencies like the , and have also down about -0.80%m dragged by the negative sentiment around markets.
A Look at the Economic Calendar for Today’s Session
Expect a flurry of Central bank speakers with close to 10 ECB Governors speaking at the Young Factory conference in Milan, Italy.
BoC Governor Macklem will also be speaking at 11:30 A.M for Loonie traders.
This would only be considered as an “entrée” for traders as markets are bracing for the June .
No change to the Monetary Policy is expected, but as for any Quarterly Meeting (Other quarters in December, March, and September), we will see the release of SEP, the FED’s economic projections.
The Rate Decision and Projections are released at 14:00 E.T., and FED’s Chair Powell will be speaking at 14:30. Expect a lot of volatility.
Safe Trades!