Entering into US session, commodity currencies are generally higher today. Global risk appetite is boosted by optimism regarding US-China trade negotiation. In short, the prolonged three-day meeting in Beijing ended with positive comments from both sides. New Zealand Dollar leads the way, followed by Australian and then Canadian Dollar. On the other hand, Yen is the weakest one followed by Euro and then Swiss Franc.
BoC rate decision will be a major market moving in US session. It’s expected to hold policy rate unchanged at 1.75%. But it’s far from being certain, considering recent rebound in oil prices. Also, the new economic projections might not be more dovish than markets have expected.
In European markets, at the time of writing:
- FTSE is up 0.94%
- DAX is up 1.16%
- CAC is up 1.27%
- German 10 year yield is down slightly by -0.0001 at 0.23
Earlier in Asia:
- Nikkei rose 1.1%
- Hong Kong HSI rose 2.27%
- China Shanghai SSE rose 0.71%
- Singapore Strait Times rose 1.12%
- Japan 10 year JGB yield rose 0.0339 to 0.032
