- UK Government releases further details of EU reset deal
-
Fed’s Bostic: Moody’s downgrade will cut across economics, financial markets
- Kremlin: Putin, Trump to hold phone call at 17:00 Moscow time on Monday
- Eurozone April final CPI +2.2% vs +2.2% y/y prelim
- SNB total sight deposits w.e. 16 May CHF 443.18 bn vs CHF 453.24 bn prior
- Market Outlook for the week of 19th – 23rd May
- EU and UK said to reach outline deal to strengthen ties
- US 30 year Treasury yield rises to 5% for the first time since April
- FX option expiries for 19 May 10am New York cut
- Japan Tertiary Industry Index for March 15.8% vs -0.9% prior
- What are the main events for today?
- Barclays expects the ECB to cut rates by 25bp in June, September and December
It’s been a very boring session in terms of data and news releases.
It’s been more lively in the markets though where some of the moves that began earlier in the Asian session, extended in the European session. The most notable ones have been the US Dollar and the long term US Treasuries.
The greenback got beaten up hour after hour as the session progressed. It’s been particularly weak against the EUR and GBP where the positive news on the “EU-UK reset deal” were likely a contributing factor.
In the US bond market, long term Treasury yields continued to rise following the Moody’s downgrade with the newswires reporting on every bps increase after the US 30 year yield crossed the 5% level.
Elsewhere, Bitcoin erased all the weekend gains as it followed the US stock market lower. And in the last part of the session, we got Fed’s Bostic repeating that his base case remains one rate cut in 2025 as he’s worrying about the inflation part of the mandate.
In the American session, the calendar is still empty on the data front but we will have more Fed speakers sharing their views. Fed’s Williams in particular could be important.
This article was written by Giuseppe Dellamotta at www.forexlive.com.
