Stimulus package details
The Biden administration’s planned covid stimulus plan remains very much in focus as Democrat lawmakers released additional details of the package. These include a $400 a week unemployment benefit which would continue until the end of August. If these plans get approved, it would be another step forward to Biden’s $1.9 trillion stimulus package being passed.
Oil continues to rise
The oil bulls keep pushing the price of oil higher, extending gains for an eighth consecutive day to a fresh 13 month high. US stimulus optimism, rapid vaccine rollouts lifting the demand outlook and OPEC+ keeping market conditions tight are helping to drive prices higher. Adding to the upbeat mood API inventory data revealed an unexpected drop in inventories of 3.5 million barrels, expectations had been for a 1 million increase. Attention will now turn to the EIA data later today.
US Dollar Forecast: USD/JPY Rebound at Risk with Inflation Data on Tap 2021-02-10 07:30:00 Daniel Moss, Analyst
US Dollar, USD/JPY, Inflation, Fiscal Stimulus, US 10-Year Treasury Yields – Talking Points:
Fiscal stimulus progress and a dovish Federal Reserve may cap the US Dollar’s upside against its higher-beta counterparts.
However, rising Treasury yields could lead to further gains for the Greenback against the Japanese Yen in the short term. Advertisement
Asia-Pacific Recap
Equity markets broadly gained during Asia-Pacific trade as a continued decline in global coronavirus cases buoyed market sentiment. Australia’s ASX 200 rose 0.52% and Japan’s Nikkei 225 nudged 0.19% higher. China’s CSI 300 surged 2.12% as local investors cheered the nation’s first increase in producer prices in 12 months, while Hong Kong’s Hang Seng Index soared 1.76%.