FAST FIVE: Futures Jump In Volatile Session Dragged By Latest Twists In Omicron Saga
25 Sterling fell against the euro and the dollar, as traders pare bets on the path of Bank of England rate hikes following reports that the UK could introduce fresh Covid-19 restrictions such as working from home and vaccine passports for large venues.
US 2-year yields were cheaper by 1bp on the day, rose to new 2021 high following Pfizer vaccine report; 2s10s spread erased a flattening move In commodities, crude futures turned red, WTI falling 0.8%, popping back below $72.
Looking at the day ahead, and Olaf Scholz is expected to become German Chancellor in a Bundestag vote today.
Note, this will not be a formal lockdown but more so work-from-home guidance, vaccine passports for nightlife and numerical restrictions on indoor/outdoor gatherings.
Running through yesterday's data, the US trade deficit narrowed to $67.1bn in October (vs.