COP – Our local trader has seen cash inflows in this slow session. USDCOP dropped to a low of 3,893 this morning and our trader watches the closing level today to see if we can stay below 3,900. The next level to watch will be the YTD low of 3,878.
NY Open – Marathon training
It’s a slow session as we ramp up to large macro events. G10 FX remains rangebound, Brent crude prices are trading at the 95 handle and WTI up +1.3% intraday. High-betas, specifically oil-correlated currencies moderately higher as a consequence. Equities are modestly higher, while US yields are broadly flat. Overnight, AUD was uninspired by RBA minutes, while we took note of geopolitical headlines in TWD.
Citi Economics expects increasing US housing starts and stable building permits at 08:30 EDT. We are above consensus for CAD CPI which prints simultaneously – if core Trim and Median measures remains significantly elevated, October hike odds increase. In EM, BRL expects Economic Activity at 08:00 EDT, while ARS awaits Q2 GDP at 15:00 EDT. CLP local markets remain on holiday. Citi is hosting an exclusive client call with Latam frontier markets today at 10:00 EDT