Currencies Shrug Off Weaker Treasury, Equity Prices

Markets are holding steady so far Monday, with recent ranges being largely respected. The somewhat quieter currency markets contrast with some more interesting moves in others assets, with US Treasury yields edging further higher to hit the highest levels since February 2020. This coincides with weakness in global equities, with European and US futures all lower.

Commodity-tied currencies trade poorly, with NOK and CAD among the weakest so far Monday as markets reflect on the recent ebb off the cycle highs in both WTI and Brent crude futures.

The data calendar is typically thin for a Monday, with Chicago and Dallas Fed metrics the only highlights. The speaker slate should be more interesting, with ECB's Lagarde giving a keynote speech in front of the European Parliament just ahead of the NY opening bell. Fed's Kaplan & Bowman and BoE's Vlieghe are also on the docket.