Good morning, Traders!
It is Wednesday the 9th of August. Here are some things to look out for today.
Sentiment
The dollar fell ahead of a large Treasury auction, which will put investor appetite for US debt to the test, after the government surprised traders last week by signalling increased borrowing needs.
The Australian dollar was among the Group-of-10 currencies that gained ground against the US dollar, as a stronger yuan offset the impact of China reporting a drop in consumer prices.
According to new BE research, the Biden administration's China policy attempts to build a high fence around a small garden, obstructing China's access to foundational technologies while leaving other trade and investment channels open.
A closely watched bond market gauge of expected US inflation is returning to a nine-year high, raising concerns that the Federal Reserve will be grappling with elevated price pressures for years to come.
China's consumer and producer prices fell together for the first time since 2020, signaling a worsening outlook in the world's second-largest economy but potentially aiding global central banks in combating inflation in their own countries.
Docket
08:30 AM ET
Canadian Building Permits MoM
Median Forecast: -3.5% | Prior: 10.5% | Range: 9.9% / -5%
10:30 AM ET
Weekly EIA Inventories
Crude Oil Inventories
Median Forecast: 2.3M | Prior: -17.049M | Range: 5.221M / -1.5M
13:00 PM ET
US sells $38 bln 10-Year Notes at Auction
Good luck!
