Equity sentiment is trading on the backfoot throughout the region as US stocks declined and treasuries were pressured amid the US and European higher yields with a stronger dollar mulling on valuations. On Wednesday, the US Dollar came storming as core DM yields trended higher amid renewed weakness in global equity benchmarks. The USD Index advanced 0.8%, its best performance in 3 weeks.
And today marks the beginning of a two-day holiday in the UK, so liquidity is getting thin across the sessions. US ADP employment data headlines the US docket before the US Nonfarm Payrolls tomorrow, focusing on the inflation part of the report amid Central Banks’ volatility on the monetary policy path.
