The US stock market hit a bump in the road midway through trading at equities gave up nearly all their gains but they have roared back and the S&P 500 is now up 68 points to 3787. That’s come with a bid in bonds, pushing down 10-year Treasury yields by 4.7 bps to 4.20%.
In turn, the US dollar is deeply lower and is now experiencing one of its worst days of the year.
The main triggers for the move are hints of China reopening.
The non-farm payrolls report was generally strong but it didn’t move the needle much on Fed probabilities, in part because unemployment ticked up.
On the charts, I highlighted USD/CAD as an interesting breakout and it continues to move with the pair now down 269 pips to 1.3476.