Morning 10-10

I will not go into the Exact Details regarding over action but put Simply Trade talks off, Spoos collapsed, trade talks back on and all is great, Spoos rally. This took place between 5 & 8:30 yesterday evening. European session saw Spoos trade in a sideways manner, Dax sell off, rally and then move into a sideways to lower range. Bunds and gilts weak due to Stronger UK GDP and an FT story doing rounds that draghi “ignored in house advice to restart QE”,bunds -63 ticks gilts -50, All Eurozone 10 year yields higher on session. Treasuries small bid front end Bonds a bit weaker. Still watching the 132 level as it has proven to be stiff resistance

Where we stand in U.S. China relations

BBG Sources: WH is looking at rolling out a prev agreed currency pact with China as part of an early deal that could see a tariff increase next week suspended; the currency accord would be part of phase 1 agreement to be followed up with more talks on IP & forced tech transfer https://bloom.bg/33hu7rJ  ITC markets

NYT Sources: the US administration plans to allow some licenses allowing US firms to supply non sensitive goods to Huawei https://nyti.ms/35pED2e   (ITC markets)

A positive step would a Move by the US to postpone the next round of tariffs slated to go into effect next week, a delay would be a sign of progress in talks. Once again, all eyes on twitter and news feeds to see what the latest is on trade talks. Chinese delegation expected to leave tomorrow evening tonight also a dinner for the group is planned this evening

Calendar:

  • 7:30 CPI
  • 9:30 Nat Gas
  • 11:00 USDA Crop report

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

This site uses Akismet to reduce spam. Learn how your comment data is processed.