European Open Market Update

European Open Market Update

Happy New Week?

It’s a calm start to a very busy week in the markets with moves mostly marginal as markets wait for the key central bank meetings in the week to provide a catalyst.?

Updates on vaccines have been mostly positive with US and UK confident about the 3rd doze although UK has moved its alert level up to 4 and warns of tidal wave incoming; restrictions in NZ and Australia are set to be eased further causing an overall tilt positive.?

Equity markets are mostly in positive region but moves are very marginal -US500 is only up 0.20%; USOIL gapped higher, up 0.90% intraday although mostly still within recent range; Gold still trade rangebound; US10YR Bond is flat while VIX is a tad lower.?

In FX, the USD leads in anticipation for a faster taper from the FED, CAD and JPY are also a tad supported while GBP lags the most after COVID warning, EUR and CHF are also slightly weaker. GBPUSD is down only about 0.28% which stressing the marginal moves so far.?

With only BOE’s Bailey on the wires, we are likely to see a slow day ahead, especially with key events lined up in the week and as such, don’t force anything.




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