Market wrap: risk sentiment remained elevated - Westpac
Analysts at Westpac offered a market wrap in the absence of any data from the US session.
"Global market sentiment: There was little fresh news of note for markets overnight. Risk sentiment remained elevated, allowing US bond yields, equities, and the AUD and NZD to nudge higher.
Interest rates: US 10yr treasury yields rose from 2.30% to 2.33%, and 2yr yields rose from 1.63% to 1.64% - a fresh high since Oct 2008. Fed fund futures yields continued to price the chance of a December rate hike at 97%.
Currencies: The US dollar index is unchanged on the day. EUR was locked in a narrow 1.1580-1.1610 range. USD/JPY made a round trip from 113.80 to 113.40 and back. AUD extended the day’s rally from 0.7660 to 0.7685. NZD similarly extended from 0.6920 to 0.6938 but later retraced. AUD/NZD ground higher from 1.1070 to 1.1097."