Markets:

• Gold down $8 to $1961
• WTI crude oil up $1.27 to $76.92
• US 10-year yields down 1.7 bps to three.83%
• S&P 500 down 2 factors to 4564
• CHF leads, JPY lags

The financial calendar was gentle and there was little in the best way of unscheduled information to jar the market. Heavy choices expiries in shares and the Nasdaq rebalancing drew some curiosity however worth motion was in the end subdued, although not fully quiet.

The massive mover on the day was what appears to be like like a BOJ leak to Reuters that the BOJ is not planning to alter up yield curve management subsequent week. That kicked off large yen gross sales throughout the board and an increase in USD/JPY to 141.95 earlier than gross sales on the determine capped an almost-200 pip rally. There was some consolidation early in US commerce right down to 141.26 however the pair rose 50 pips from there in a second spherical of energy.

The US greenback was typically robust and significantly so early within the day because the euro and pound hit session lows at 1.1109 and 1.2817, respectively. It has been a fast reversal in cable in a sixth-straight decline after touching a one-year excessive final week. The softer UK CPI knowledge was undoubtedly the primary financial knowledge level of the week.

For Canada although, it was right this moment’s softer retail gross sales report. It hints that BOC hikes are starting to chew and the advance studying for June was flat once more. The loonie slumped on the outcomes regardless of a robust day for oil (which touched above the 200dma). USD/CAD rose 50 pips on the outcomes to 1.3226 on the excessive and solely backing off barely.

NZD/USD was hit significantly exhausting this week, regardless of a excessive inflation studying. The market is not impressed with what China has supplied by way of stimulus to this point and it has been six straight days of good-size promoting within the kiwi, taking it right down to 0.6166 and solely barely outperforming the battered yen on Friday.

The week forward is an enormous one, with price choices from the Fed, ECB and BOJ together with a busy week of earnings. Have an excellent weekend.