Forex news from the European trading session – 9 October 2020
- NZD leads, USD lags on the day
- European equities a little higher; E-minis up 0.5%
- US 10-year yields down 1.8 bps to 0.767%
- Gold up 1.1% to $ 1,914.10
- WTI down 0.9% to $ 40.80
- Bitcoin up 1.4% to $ 11,047
There weren’t much notable headlines on the session as US stimulus talks as well as election focus are still the two main drivers in the market.
On that note, there weren’t any new developments in European morning trade.
The only news that stood out came from the UK where Brexit talks between Barnier and Frost were relatively brief and UK August GDP showed the recovery losing some steam.
US futures kept higher throughout and European equities also posted modest gains, and that kept the dollar on the back foot in general.
EUR/USD is testing the 1.1800 handle once again, moving up from around 1.1770 earlier.
AUD/USD is also trading higher from 0.7180 to 0.7194, closing in on the 0.7200 handle.
Amid the Brexit focus, the pound is seeing itself little changed against the dollar with cable trading around 1.2930-50 for the most part on the session.
Elsewhere, gold is looking to keep a break above $ 1,900 but is running into some key technical levels as the weekend approaches.
Meanwhile, the bond market is not so much in agreement with the move in equities as Treasury yields keep slightly lower ahead of North American trading.
Looking ahead, stimulus hopes and election odds will be the two key things to watch out for before the trading week comes to an end.