• APAC stocks traded positively throughout most of the session but bourses later drifted off best levels; the US closed in the green after some FOMC-related volatility
• FOMC December minutes highlighted how no Fed official sees a rate cut in 2023 albeit there was no discussion about the magnitude of the hike in February
• DXY was choppy and briefly dipped under 104.00 to a session low of 103.98 before reversing to print an overnight peak; JPY outperformed among G10s and...

• European bourses have extended on Tuesday's upside, Euro Stoxx 50 +1.6%, with soft inflation data out of France adding to the week's dovish impulses.
• Stateside, futures are supported though to a lesser extent than European peers, ES +0.4%, as the region awaits key data points and the ES remains sub-3900.
• DXY has retreated with AUD outperforming while EUR remains supported on PMIs and the USD despite dovish inflation data.
• Bonds boosted once...

• APAC stocks traded mostly firmer despite the negative handover from Wall Street; Hang Seng outperformed whilst Nikkei lagged.
• European equity futures held onto modest gains with the Euro Stoxx 50 future +0.3% after the cash market closed +0.7% yesterday.
• DXY pulled back to levels under 104.50 after, technicians also eye a potential “death cross” in the index.
• US House is adjourned until 12:00EST (17:00GMT) on Wednesday after three failed...

• European bourses are firmer across the board, Euro Stoxx 50 +1.4%, as the region's strong start to 2023 continues despite soft Chinese NBS PMIs
• Stateside, futures are supported with the ES back above 3900 ahead of the week's risk events from Wednesday onwards.
• Dollar erases and reverses losses on positional, fundamental and technical grounds with EUR deflated by sub-consensus German state CPIs
• Fixed income boosted by the German inflation...

• European bourses are marginally firmer, Euro Stoxx 50 +0.2%, with the Stoxx 600 on track to end the week with upside of circa. 0.6%.
• Stateside, futures are similarly supported, ES +0.3%, though we await US monthly PCE metrics for another factor into the Fed's deliberations.
• Dollar has waned with peers taking advantage with debt continuing to decline and curves re-steepening
• Crude benchmarks are firmer and eclipsing other assets following the...

• APAC stocks traded mostly lower but drifted off worst levels following a similar performance stateside
• DXY fluctuated within a tight range in which it briefly topped 104.50 before drifting to a fresh session low; JPY lagged
• Japanese Core CPI for November rose at the fastest annual pace since 1981
• Tesla (TSLA) CEO Musk said he will not sell any more Tesla stock for at least 18-24 months; waiting to see the extent of a recession before share...

• European bourses & US futures are steady near the unchanged mark within relatively narrow ranges in limited newsflow
• Crude has clawed out incremental WTD peaks, given the softer USD and latest China-COVID reports
• DXY remains in proximity to 104.00, though was pushed modestly below the figure to the benefit of peers ex-GBP
• EGBs lost initial recovery momentum with drivers limited while USTs retain a positive...

• APAC stocks traded with gains across the board following the positive lead from Wall Street
• Chinese property names led the gains after China unveiled further support measures for the sector
• US and European equity futures resumed trade with modest gains, but price action is somewhat contained in the pre-Christmas lull
• DXY trundled lower throughout the session as it breached 104.00 to the downside before matching yesterday's 103.85 low; Aussie...

• European bourses have eked out a marginal extension of their initial upside, Euro Stoxx 50 +0.9%, with both newsflow and the schedule ahead sparse.
• ES +0.6%; post-earnings NKE +12.5% & FDX +4.8%
• DXY has managed to attain an incremental foothold at 104.00, with peers ex-NZD generally contained in tight ranges.
• An early recovery bounce has seemingly run out of steam ahead of US 20yr supply, with Bunds and Gilts fading from respective...

• APAC stocks eventually traded mixed following a mostly positive lead from Wall Street and with news flow on the quieter side
• DXY traded on a firmer footing and reclaimed a 104.00 handle from a 103.91 low, USD/JPY trimmed recent losses and NZD lagged among G10s
• 10yr UST and Bund futures were subdued overnight, whilst Japan's 2yr yield rose above 0% for the first time since 2015
• China will no longer take measures to isolate people from...

• European bourses are under modest pressure, Euro Stoxx 50 -0.3%, as the complex lifts off post-BoJ lows in limited newsflow.
• JPY is the standout outperformer after the BoJ widened the 10yr yield band, sending USD/JPY to a test of 132.00 vs 137.00+ initial levels.
• DXY has been pushed below 104.00 to the modest benefit of G10 peers across the board; though, JPY-cross action is limiting this.
• Core debt has bounced from worst levels, though...

• APAC stocks traded lower across the board with the broader risk profile hit by the BoJ's unexpected tweak to its Yield Curve Control
• BoJ tweaked YCC in which it widened the 10yr yield band to +/- 0.5% (prev. +/-0.25%) and unexpectedly announced it is to increase bond purchases to JPY 9tln/m (prev. JPY 7.3tln/m) in Q1; Kuroda presser due at 06:30GMT/01:30EST
• JPY soared on the BoJ decision to tweak its YCC, with USD/JPY slumping from levels around 137.00 to lows below...

• European bourses have commenced the week on a firmer footing, Euro Stoxx 50 +0.7%, shaking off the softer APAC handover amid two-way COVID updates.
• Stateside, futures are similarly supported, ES +0.4%, in tandem with the European tone ahead of a sparse US docket
• USD has faded despite hawkish weekend Fed rhetoric, with the DXY nearer the lower-end of 104.12-83 parameters amid marked initial JPY strength
• Bunds are facing modest pressure,...

• APAC stocks eventually traded lower across the board following the downbeat performance on Wall Street on Friday
• DXY was softer and briefly dipped under 104.50, USD/JPY gapped lower amid weekend source reports, and EUR underperformed
• Japan's government is set to revise a 10-year-old joint statement with the BoJ that commits the central bank to achieve its 2% inflation "at the earliest date possible", although this was downplayed by the Japanese Chief Cabinet...

• European bourses remain on a downward trajectory as the post-ECB slump continues with US futures similarly afflicted
• DXY has whipsawed within a 104.20-73 range, well within yesterday's bands, though an overall underlying USD bid has emerged
• EGBs continue to slide. With Bunds lower by over 150 ticks and the associated 10yr yield above 2.2% post-ECB.
• Crude benchmarks have succumbed to the above price action but remain someway above the...

• APAC stocks were pressured on spillover selling from global counterparts following the slew of central bank rate hikes.
• European equity futures are marginally higher with the Euro Stoxx 50 future up 0.2% after the cash market closed with losses of 3.5% yesterday.
• DXY is a touch softer but on a 104 handle, JPY leads G10 FX, EUR/USD sits on a 1.06 handle, Cable lingers around 1.22.
• ECB President Lagarde reportedly offered policymakers...

• European bourses and US futures are under pressure, seemingly in a second wave of the post-FOMC price action.
• USD has continued to climb throughout the morning, DXY above 104.40 at best with peers dented across the board
• SNB & Norges Bank were essentially in-line with expectations, hiking by 50bp & 25bp respectively.
• Gilts continue to outperform and leading a relative 'revival' in the debt space, though USTs and Bunds are yet to make...

• The Fed delivered a widely expected 50bps rate hike and provided hawkish revisions to the dot plots.
• US stocks ultimately finished lower with the S&P 500 back below 4K, APAC stocks were subdued overnight.
• European equity futures were mildly lower with the Euro Stoxx 50 future down 0.4% after the cash market closed with losses of 0.3% yesterday.
• DXY was firmer overnight but sub-104 after swinging between gains and losses in the...

• European bourses are under pressure across the board, Euro Stoxx 50 -0.7%, as the CPI-induced upside wanes ahead of the FOMC & Powell thereafter
• USD has continued to slip with the index down to 103.66 at worst, nearing Tuesday's 103.57 trough to the benefit of most G10 peers.
• JPY outperforms with USD/JPY dropping below 135.00 to a 134.61 low in wake of BoJ sources
• Bunds under marked pressure given a sizeable 2023 issuance remit and...

• APAC stocks took impetus from the gains across global peers following the softer-than-expected US CPI (SPX +0.73%, NDX +1.1%).
• European equity futures were steady with the Euro Stoxx 50 future up 0.1% after the cash market closed with gains of 1.7% yesterday.
• DXY remains lacklustre and lingers just above the 104 mark, EUR/USD and USD/JPY sit on 1.06 and 135 handles respectively.
• US Congressional negotiators said they reached a deal...

• European bourses are firmer across the board Euro Stoxx 50 +0.8%, though action has been choppy with fresh drivers limited.
• US futures are similarly bid, though comparably more contained ahead of CPI and 30yr supply
• DXY is bid, but has been unable to convincingly breach the 105.00 mark despite a brief foray to 105.09, with peers generally contained vs USD.
• EGBs have been pressured throughout the morning, with Bunds initially lagging though...

• APAC stocks were mostly kept afloat following the gains on Wall St where the major indices unwound recent losses (S&P 500 +1.4%).
• Hong Kong Chief Executive Lee announced an end to the COVID contact tracing app requirement and will eliminate the three-day arrival monitoring period.
• European equity futures were firmer with the Euro Stoxx 50 future up 0.4% after the cash market closed with losses of 0.5% yesterday.
• DXY sits just below the...

• European bourses are under modest pressure, Euro Stoxx 50 -0.2%, as the cautious APAC tone continues but with magnitudes limited given the lack of newsflow.
• USD's initial extension faded with the index drifting within 105.23-104.72 parameters, peers mixed but generally rangebound.
• EGBs & Gilts have meandered to fresh intra-day peaks, though newsflow and drivers behind the upside are essentially non-existent.
• Crude benchmarks are under...

• APAC stocks began the week with mild losses following the subdued performance last Friday on Wall Street.
• European equity futures were lower with the Euro Stoxx 50 future down 0.5% after the cash market closed with gains of 0.5% on Friday.
• USD is broadly firmer vs. peers, EUR/USD maintains 1.05 status and USD/JPY lingers around the 137 mark.
• Crude prices were slightly higher in some mild respite from the recent selling...

Week Ahead December 12-16th:

• MON: UK GDP Estimate (Oct), Chinese M2/New Yuan Loans (Nov).
• TUE: OPEC MOMR; BoE Financial Stability Report; German CPI Final (Nov), UK Unemployment Rate (Oct)/Claimant Count (Nov), EZ ZEW (Dec), US CPI (Nov), Japanese Tankan (Q4), New Zealand Current Account (Q3).
• WED: FOMC Policy Announcement, IEA OMR; UK CPI (Nov), Swedish CPIF (Nov), EZ Industrial Production (Oct), US Export/Import Prices (Nov),...