AUD

• Positive vibes. Gains across the tech-sector pushed US equities to record highs. Base metals rose. AUD outperforms ahead of AU CPI data.• AU inflation. Q3 CPI due today. Acceleration in core inflation forecast. RBA rate cut expectations have been pared back. This might have further to go.• US Fed. Another US Fed rate cut anticipated tomorrow morning. Guidance will be important. USD volatility likely around the event given what is priced in. Global Trends The upbeat tone in risk assets extended overnight. Gains across the tech-sector (NASDAQ +0.8%) pushed US equities to fresh record highs (S&P500 +0.2%) with solid...

• Upbeat tone. Softer US inflation, solid PMIs & positive US/China trade talks support risk sentiment. Equities rose. AUD & NZD strengthen.• US Fed. Upside US inflation risks fading while downside jobs risks rising. US Fed looks set to cut rates this week & should keep door open to more.• AU inflation. Gov. Bullock speaks tonight, Q3 CPI due Weds. Monthly data points to uptick in Q3 inflation. RBA rate cut pricing may be pared back. Global Trends A combination of factors underpinned risk sentiment at the end of last week and in this morning’s early Asian trade. US and...

• Mixed signals. Sanctions on Russian producers boosted oil prices. Limited spillover into other markets. Equities rose. AUD outperformed overnight.• US inflation. US CPI due tonight. US government shutdown delayed it. Diverging ‘goods’ & ‘services’ price trends at play. Data may generate USD vol. Global Trends Geopolitical developments generated a little volatility across a few markets overnight, though risk assets are generally firmer. US sanctions on some of Russia’s largest oil producers due to the lack of commitment to end the Ukraine war saw oil prices rise ~5%. That said, at ~$66/brl brent crude is still tracking below its 1-year...

• Push-pull. Pockets of vol. in some asset classes. US equities eased, bond yields consolidated & USD tread water. AUD & NZD held steady.• US CPI. US Gov. shutdown ongoing. But US CPI will be released Friday night. Diverging trends between ‘goods’ & ‘services’ prices. USD vol. likely.• AU macro. RBA Gov. Bullock speaks tomorrow. Q3 CPI due next week. Firmer inflation pressures may temper enthusiasm about RBA rate cuts. Global Trends There were pockets of volatility across some asset classes overnight on the back of some news headlines. But on net the moves were rather modest. Reports the Trump...