Themes

• General mood is “risk off”
• Markets pause ahead of tonight’s U.S. CPI numbers
• Concern also reemerges on Omicron

What’s Moving

What’s that noise? Oh right, nothing.

A very quiet session in Asia to end the week today, with a lack of fresh offshore incentives overnight, combined with some key data coming up tonight conspiring to drain volatility out of the local market completely. Today was characterized by end of week squaring up and small corporate activity.

Sterling is the only major to have extended its overnight range, bouncing slightly on light short covering.

Tonight is expected to be quiet as well, although there is some data on the slate that can move the market if it surprises. Key data for tonight includes:

• German CPI (E: -0.2%)
• U.K. GDP: (E: +0.4%)
• U.K. Industrial Production (E: +0.1%) and Manufacturing Production (E: +0.2%)
• U.S. CPI (E: +0.7%), and  
• U.S. Michigan sentiment (E: 67.9)