Markets:
- Gold down $32 to $2359
- US 10-year yields flat at 4.27%
- GBP leads, NZD lags
- WTI crude oil down 94-cents to $82.23
- S&P 500 up 0.1%
It’s tough to find a market move worth mentioning on Monday and the newsflow was also lacklustre. Early in the US day, the dollar slipped and it as cable taking advantage in a steady climb to 1.2845 but it slowly gave it back to finish flat at 1.2806. The euro followed a similar path and is on track to finish slightly lower.
All of the moves in FX are insignificant in the larger context and that same kind of standstill was evident in bonds and equities.
That wasn’t the case in commodities as gold was kicked lower in a delayed reaction to the earlier report that China didn’t buy gold in June in a continuation of the reserve freeze from May. It quickly fell $25 before steadying above $2350 and getting some small bids late.
Oil was also under moderate pressure after weekend reports showed less US gasoline demand than initially indicated on the July 4th weekend. That hints at less demand this year overall and Hurricane Beryl also failed to leave much of an impact.
The market largely tuned out on politics but betting odds shifted substantially towards Biden staying in the race after some strongly-worded comments to MSNBC and in a letter to Congress.
