Financial markets are kicking off December in a turbulent fashion as policy tightening hints from the Bank of Japan nudge global rates higher and dull the dollar’s appeal. Ten-year Treasury yields are up nearly four basis points, equity futures are pointing to small early declines, and the greenback is slipping against a broad basket of peers ahead of the North American open. The yen is outperforming...

• Positive trends. Risk sentiment remained positive on Friday. US & European equities rose, as did cyclical currencies like the NZD & AUD.• AU/NZ factors. After last week’s AU CPI & signals from the RBNZ, markets are toying with the idea the next move in AU & NZ rates may be up not down.• Event Radar. Australia Q3 GDP is out (Weds). In the US, focus should be on the ISM indices,...

Currencies are trading on a mixed footing this morning as investors pivot from expecting some Federal Reserve easing to anticipating too much. The dollar slumped, equity markets rallied, and yield curves shifted in yesterday’s session when Bloomberg reported that Kevin Hassett had become the front-runner in the race to replace Jerome Powell at the head of the world’s most powerful central bank. Hassett—now...

• Upbeat vibes. US equities rose while bond yields dipped. USD softer. Run of weak US data supported the case for another US Fed rate cut in December.• RBNZ meeting. NZD ticks up ahead of RBNZ decision. Another cut expected with markets looking for a 25bp move. Is the easing cycle almost over?• AU CPI. First full monthly CPI report out. Data could be volatile the next few months. Will it reinforce...

Financial markets are back in recovery mode and Nasdaq is coming off its best day in six months as growing evidence of a “Fed put” boosts risk appetite. Index futures are pointing to further gains, Treasury yields are down across the curve, and the dollar is losing altitude after Federal Reserve officials expressed deepening concern about labour market softness, prompting a recovery in technology stocks...

The dollar is slipping from its highs, Treasury yields are inching lower, and stock market indices are retrenching as investors trim exposures to the technology sector amid an ongoing retreat from speculative asset classes. With US markets closed Thursday for the Thanksgiving holiday and likely thinly-populated on Black Friday, traders are working to compress position adjustments into the first three...

• Positive vibes. Increased odds of a December US Fed rate cut boosted sentiment. US equities rose. AUD & NZD ticked higher on Friday.• AU/NZ events. RBNZ expected to cut rates again (Weds). Most are predicting a 25bp move. First full monthly CPI inflation report out in Australia (Weds).• Event Radar. In the US shutdown delayed retail sales & PPI data due (Tues night AEDT). Thanksgiving holidays...

• Risk wobbles. Positive sentiment after the Nvidia earnings report faded. US equities declined, as did bond yields. AUD & NZD lost ground.• US jobs. Delayed US jobs data showed stronger payrolls but also higher unemployment. Odds of a December US Fed rate cut have declined.• Data flow. Global PMIs & Fed members speaking today. Because of shutdown backlog Fed won’t have another jobs report...

The US job creation engine turned in a solid performance in September, maintaining market expectations for a short pause in the Federal Reserve’s easing campaign. According to delayed data just released by the Bureau of Labor Statistics, 119,000 jobs were added in the month—representing an overshoot relative to the 51,000-consensus forecast—while the previous two months were revised down by a total...

Currency markets are holding steady after an extremely busy session that saw odds on a December rate cut plunge, helping the dollar post its best daily performance in almost two months. Benchmark ten-year Treasury yields are holding near 4.14 percent—up almost three basis points from yesterday—equity futures are setting up for gains at the open, and the euro, yen, and Canadian dollar are all trading...