Markets have been generally choppy on Tuesday and have been unable to maintain the dollar’s positive momentum seen yesterday in Asia, with most pairs partially correcting the move in what has been a relatively steady session. The dollar is now marginally softer, while the main mover interest was in Sterling, which traded lower after the surprisingly poor UK construction data, which dropped to its lowest level since July 2016, at 48.1, down from 51.1 and missed expectation of 51.1, putting another dent in the prospect of a near term UK rate hike. In other markets stocks made yet another all-time high, moving up by around 0.2%, while the metals and WTI were both stuck in a tight range.
Wednesday will begin with the Australian Service PMI although that is pretty much it until the EU get up and running, when the European/UK Services/Composite PMIs are released. The EU August Retail Sales are also due (exp. 0.3%mm, 2.6%yy). The main focus in the US 2 Oct will be on the ADP jobs data (exp 135K), coming just 2 days ahead of Friday’s NFP figure. The Non-Mfg, Services and Composite PMIs are also due and then late in the day, both Janet Yellen and Mario Draghi will be speaking which will most likely cause some early Asian volatility.
|INDICES / COMMODITIES|
|ASX SPI: 5691|