S&P 500 futures sits at the lows, down by almost 0.7%
The sentiment here is what is helping to keep the Japanese yen underpinned on the day as risk assets across the board are trading lower as we move into the US trading session. Oil is down by more than 1%, with WTI breaking below $60 and is down by 1.6% currently. Meanwhile, the aussie and kiwi are also trading lower but losses in the two commodity currencies are still rather minimal for now.
European equities are also trading lower for the most part with Italy leading losses as budget worries continue to build up ahead of Tuesday’s deadline to respond to the European Commission.
But if there’s any hope for a turnaround in risk today, Wall St is best known for being able to pull that off. We’ve seen that on multiple occasions over the past month so keep an eye on the US cash equity market and how it trades later in the day.
I’m not putting my hopes up for a massive shift in risk sentiment to come – I actually reckon we’ll see more straightforward trading later – but it’s good to be wary of any potential risks that could impact the mood seen so far today.