• Fed speaks
  •  European data mixed
  • Volkswagen saga continues
  • Japan Post IPO helps Yen
It is a slow morning in the markets, but don’t let that fool you. All are eagerly awaiting the speeches by Janet Yellen, Stanley Fischer and William Dudley.  The markets are currently expecting a 52% chance for a rate hike in December, and are keen to see if anything these Fed members say today will change that.There is mixed data out of Europe to start the day with Markit PMI numbers coming in lower than expected for most of the Eurozone.  The Volkswagen debacle continues, as they say some 800K cars may have false emissions readings.  All this has led to a slight drop in the Euro against other currencies.  The one bright spot was the UK, which had strong PMI numbers ahead of a big day tomorrow for the country.  Pound is up against the dollar on this news, as markets wait to hear the interest rate decision by the BOE and Governor Carney’s speech after.

In the Asian markets the Yen is doing well this morning as the Japan Post IPO did well. This bodes well for Minister Abe’s plans to encourage investment and economic growth.  China’s markets also did well today as old news resurfaced that sparked a surge in investment.  The PBOC clarified the comments later but gains still held despite this revision.

EURUSD: Euro down this morning on mixed news.

GBPUSD: The pound is slightly higher today on good PMI numbers.  BOE will announce a rate decision tomorrow followed by Governor Carney’s speech both of which are highly anticipated and if anything unexpected comes out of it could shake up markets.

AUDUSD: Aussie is up slightly this morning as the Chinese markets reacted well to the resurfacing of old news.

USDCAD: Canadian dollar is steady this morning as they look towards Yellen’s testimony today.