USD/JPY keeps above the 110.00 handle to start the morning
Major currencies continue to be trapped in relatively narrow ranges today but notably, USD/JPY is creeping higher in a move above the 110.00 handle. That is putting buyers in a better position technically ahead of the US-China Phase One trade deal signing.
However, with US equities making all-time highs once again overnight, I reckon we could be staring down at a potential sell-the-fact play down the road – especially if the trade deal details don’t make for good reading (too ambitious perhaps?). But we’ll see.
Other than that, markets are keeping relatively steady with US futures and bond yields sitting near flat levels on the day thus far.
Looking ahead, there isn’t anything on the economic calendar in Europe to shift the dial so expect markets to keep more calm ahead of North American trading today.