Gold up $62 to $3746WTI crude oil down 4-cents to $62.64S&P 500 up 0.4%EUR leads, CAD lagsUS 10-year yields up 1.3 bps to 4.15%
A pair of Fed officials in Hammack and Musalem said they were reluctant to cut much more in light of inflation risks as both highlighted a decent, and perhaps improving economy. Barkin took a more-neutral view but also touched on improving business confidence while Miran continued to call for 200 bps of easing in short order.
The gold market is seeing something very different as it rallied forcefully to a new high today on steady bids in North America. The combination of fiscal recklessness and tumultuous politics is certainly a tailwind.
In FX, the euro steadily gained to 1.1800 as it claws back a part of the three-day decline at the end of last week. The loonie went in the opposite direction as Carney highlighted the rift with the US, though I think it was more flows that commentary behind the move. Canadian PPI numbers ran hot and that could give the BOC a headache.
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