Whilst we are still navigating trade wars, intraday volatility has increased. The latest development is that the U.S. Postal Service has temporarily suspended inbound international packages from China and Hong Kong. While it’s not clear what prompted the move, it comes after Trump revoked a “de minimis” rule for China, which previously allowed small packages under $800 to enter the U.S. duty-free.
Earnings from Google’s parent, Alphabet Inc., and Advanced Micro Devices Inc. have disappointed, as their shares tumbled in extended trading. In Japan, stocks reversed some losses as shares of Toyota Motor Corp. gained after raising its annual operating profit outlook. Honda Motor Co. surged, while Nissan Motor Co. slumped after the Nikkei reported that the two competitors failed to reach a consensus on a combination.
Market-wise, Bitcoin opens at $97,855.4, Ether rose 4.3% to $2,754.46, and the yield on 10-year Treasuries is at 4.50%. West Texas Intermediate crude opens at $73 per barrel, and spot gold rose 0.7% to $2,861.20 an ounce. Cable opens at 1.25 and EUR/USD above 1.04, with USD/JPY down at 153.
The day ahead is mainly about speeches—we hear from the Fed’s Austan Goolsbee, Tom Barkin, Michelle Bowman, and Philip Jefferson. On the data front, we have Eurozone HCOB Services PMI and PPI, along with U.S. trade data at 13:30.
