The G10 currencies are trading in a narrow range with safe have slightly better than the commodity currencies. The USD is slightly better than EUR, JPY and GBP while AUD CAD and NZD are among the weakest currencies. In terms of data; the German industrial production for June has come in at -1.1% worse than the expected 0.2% while Norway’s industrial production has come in strong at 5.4%. Elsewhere, the Swiss Inflation rate has come in at -0.3% as expected. The data calendar is relatively thin for the rest of the day with not much due. That said Fed’s Bullard and Kashkari will be speaking during the US session. In terms of Equities, the Nikkei 225 has closed 0.52% up at 20,056 and the European equities have also opened firm with FTSE up 0.3%, DAX up 0.2% and CAC 40 up 0.2%. In the rates market, the US and German 10 year yields are consolidating at 2.7% and 0.46% respectively. In the energy space, the WTI front month is consolidating around $52.10-$52.40 after recovering late on Friday.
Looking ahead, the Chinese and German trade balance will be due on Tuesday followed by Chinese inflation rate and RBNZ rates decision on Wednesday. Thursday will be only slightly busier with Norway’s inflation and industrial production from Sweden and UK. However, the key release for the week will be the US CPI due on Friday.