- U.S. stocks rose overnight, as players look to a potential economic bottom
- Fed’s Beige Book: Businesses remain pessimistic
- E.U. Commission’s rescue fund includes EUR750bln in new potential spending
Bias: Risk on
U.S. stocks rose overnight, as equity market players shrugged off Chinese/American tensions and instead began to think that the economic turmoil has bottomed. This included ignoring a horrible Fed Beige Book, which was largely as bad as expected.
Although trading in a tight range, the EUR/USD saw an interesting session, with USD buying initially on continued Chinese/U.S. tensions, before Euro buying emerged on the announcement of the E.U. Commission’s rescue fund, which included a EUR750bln rescue fund.
Oil prices fell overnight, with traders focusing on a rising number of Corona Virus cases in Alabama. Gold came back slightly amid the firmer U.S. equities.
Expect continued skittish trading in Asia today, with short-term moves to be data driven. The slate includes German and Spanish CPI, along with U.S. G.D.P., Initial Claims and Durable Goods.