CNY

The dollar is consolidating near a seven-week high against its major counterparts as yield differentials normalise and safe-haven demand fades. Treasury yields are moving in opposing directions across the curve, with the two-year slipping lower even as the ten-year inches higher, and North American equity futures are positioned for a modest recovery at the open. Currency markets are seeing mixed price action after Chinese authorities disappointed investors with a smaller-than-expected stimulus announcement: the Canadian dollar and other risk-sensitive units are grinding lower, while the pound, euro, and Japanese yen are all sitting on small gains after coming under sustained selling...

Traders are signing pre-nuptial agreements with their positions this morning, avoiding exposure to downside risk ahead of a potentially-pivotal non-farm payrolls report. The dollar’s gains are slowing after the biggest weekly advance in six months, Treasury yields are steady, and North American equity futures are flat Uncertainty is high. Consensus estimates suggest that the US added 150,000 jobs last month – a pace that would keep the unemployment rate steady at 4.2 percent – but forecasts are widely dispersed, from 70,000 on the low end to 225,000 on the high end. A surprise could radically reshape expectations for November’s Federal...