Thomson Reuters
Traders work on the floor of the New York Stock Exchange (NYSE) shortly after the opening bell in New York
Good Morning! US Futures are retreating small as all eyes on the Japanese Yen ripping higher in the overnight. EU Markets are a sea of red, led by a 60bp drop in the DAX as Banks getting smoked across Europe, and Autos falling on VW headers - Energy the only sector rallying in the continent. FTSE is off only 40bp, as drops in HC, industrials and Fins are offset with the Miners leading in London on the back of headlines from Antofagasta and BHP. Volumes slightly better as Euros return from 3day weekends, with exchanges trading 10-20% light to trend. Over in Asia, China slipped as the PBoC and NDRC reiterate fiscal policy as the main source of stimulus, with SHCOMP dropping 50bp - Shenzhen-HK market linkup announced after the close. The Nikkei was hit for 1.6% on surging yen - Aussie lost 14bp as banks dropped, offsetting gains by miners, while Hong Kong lost 10bp despite a spike in Tencent ahead of #s.
The Dollar is getting drilled as Asians and Euros realize Fed's Williams was uber dovish yesterday. $/Y nearing 100 test as traders await intervention from the BOJ - Pound jumps on higher UK Inflation, while Euro rips thru 1.12 as Germany's ZEW recovers and Aussie$ climbing on RBA minutes. Emerging-market currencies reached the strongest in more than a year. Yields are off small, but recovering quick from worst levels of the overnight. China Steel Rises to 4-Month High as headers suggest Capacity Cuts to Intensify - that has a sharp bid under Metals, with Platinum, Silver and Copper all 1%+ higher, with Gold just behind. Energy complex continuing yesterday's rally, as Gasoline climbs 1% and WTI pops 50bp to get upside $46. Softs are mixed.
Ahead of us today, we get US Housing Starts and Building Permits for July at 8:30, followed by Industrial Production at 9:15. Fed's Lockhart (neutral, Non-Voter) Speaks at 12:30, then we await the API data for Crude at 4:30 tonight. Tech remains in focus with the Intel Developer Forum in San Francisco kicking off, while a HC Conference from Wedbush and Nomura's media conferences shud add to the single-stock headers today.