EUROPEAN SESSION
In the European session, we don’t have anything on the agenda as traders continue to wait for further US-Iran developments and the US CPI report due tomorrow. Oil prices continue to drive pretty much everything, with the Middle East situation remaining basically unchanged.
Yesterday’s surge weighed on risk sentiment and dragged down stocks, cryptocurrencies, precious metals and risk assets in general, while giving the US dollar a boost. The pullback in the Asian session, on the other hand, helped reversed some of those losses.
AMERICAN SESSION
In the American session, we just get a couple of low-tier releases like the weekly ADP data and US Existing Home Sales. The data won’t change anything for the Fed, so the market reaction will be muted.
This year has been all about the US-Iran war as the surge in energy prices led to a rise in global yields, weighed on global stock markets and pressured many currencies. We can blame a lot of things, but the main culprit was the war. The longer it drags on, the worse the economic consequences will be.
CENTRAL BANK SPEAKERS
- 07:15 GMT/03:15 ET – ECB’s Elderson (neutral – voter)
- 07:45 GMT/03:45 ET – Fed’s Waller (neutral – voter)
- 14:00 GMT/10:00 ET – Fed’s Goolsbee (hawkish – non voter)
- 16:00 GMT/12:00 ET – BoE’s Dhingra (dovish – voter)
- 17:00 GMT/13:00 ET – Fed’s Barkin (neutral – non voter)
- 17:30 GMT/13:30 ET – ECB’s Lane (neutral – voter)
- 20:00 GMT/16:00 ET – Fed’s Collins (neutral – non voter)
This article was written by Giuseppe Dellamotta at investinglive.com.
