Entering into US session, the forex markets remain rather directionless at this point. Sterling is lifted mildly by talks that EU is going to offer UK a conditional Brexit extension in the summit later this week. With that change in circumstance, Prime Minister Theresa May could bring her deal back to the Commons for another meaningful vote. But still, upside in the Pound is very limited as there is no clear path to what’s next on Brexit.
Data from Europe are positive with unemployment rate in UK hitting 44-year low at 3.9%. Wage growth also maintained strongest pace German ZEW Economic Sentiment also showed significant improvement. But the data are largely ignored. WTI crude oil is extending recent rally to 59.80 so far and it’s now sitting inside key resistance zone around 60. Oil price is giving Canadian Dollar a mild lift.
In Europe:
- FTSE is up 0.52%.
- DAX is up 0.89%.
- CAC is up 0.46%.
- German 10-year yield is up 0.010 at 0.98. It breached 0.1 handle to 0.101 earlier today.
Earlier in Asia:
- Nikkei dropped -0.08%.
- Hong Kong HSI rose 0.19%.
- China Shanghai SSE dropped -0.18%
- Singapore Strait Times rose 0.25%.
- Japan 10-year yield dropped -0.008 to -0.044.
