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Goldfajn Appointed Head Of IDB, Greenback Firmer On China Concerns

LATAM
  • Risk sentiment has suffered to start the week, with equity futures lower on both sides of the pond. Moves follow the deterioration in China's COVID backdrop as a number of regional governments reintroduced mobility restrictions after infections rose at the fastest rate since April.
  • The Japanese Yen is the poorest performer in G10, with USD/JPY boosted by the firmer Dollar Index and putting the pair above the previously well-held 100-dma resistance of 141.03. Greenback strength has been broad based with the Euro sliding back below 1.0250, hugging the lows approaching the US cash equity open.
  • Governments from Latin America, the Caribbean and the US chose Ilan Goldfajn to be the next head of the Inter-American Development Bank, making him the first Brazilian to win one of the region’s most coveted jobs at a key financial institution.
  • Datapoints are few and far between Monday, with just the Chicago Fed National Activity Index on the docket. ECB's Holzmann, Centeno and Nagel speak, as well as Fed's Daly.

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