Indicative votes on Brexit alternatives in the UK House of Commons will catch most attention ahead. Debate is due to start by 1500GMT. We'll see what alternative Brexit path could gain majority in the Parliament. House of Commons Speaker John Bercow will select which of the proposals will be put to a vote. The options now include "respect the referendum result", "customs union", "confirmatory public vote", "revocation to avoid no deal" and "no deal". Ahead of that, Sterling is trading as the strongest one for today so far. But it should be emphasized that Pound is stuck in recently established range against Dollar, Euro and Yen. There is no sign of breakout and current rise is nothing more than part of consolidations. Yen is following as the second strongest with help from weakness in global treasury yields. In particular, US 10-year yield is extending recent decline to as low as 2.379 so far, losing 2.4% handle. Yield curve inversion is just getting worse and worse. Meanwhile, New Zealand and Australian Dollar remain the weakest ones undoubtedly. NZD is sold off sharply after RBNZ indicated that next move is a cut. AUD follows as RBNZ's dovish shift somewhat solidifies that case for RBA cuts too. In other markets, US stocks open mildly higher with DOW, S&P 500 and NASDAQ trading up around 0.2%. In Europe, FTSE is up 0.17%. DAX is up 0.62%. CAC is up 0.58%. German 10-year yield is down -0.0546 at -0.068. Earlier in Asia: Nikkei dropped -0.23%. Hong Kong HSI rose 0.56%. China Shanghai SSE rose 0.85%, back above 3000 handle. Singapore Strait Times dropped -0.06%. Japan 10-year JGB yield dropped -0.0018 at -0.067. |
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