Themes

• General mood is “risk off”
• European PPI and U.K. Retail Sales slated for release tonight
• Canadian Retail Sales and several U.S. Fed speakers also on the docket

What’s Moving
Wow that was a quiet session in Asia today, with a lack of major offshore incentives combining with the Friday effect causing a complete lull in market activity in Asia.
Every one of the majors and gold held within overnight ranges (which were tight enough already) with the market positioned largely flat to slightly long USD.

Thoughts
Tonight looks little better, but not a great deal. Europe kicks off with European PPI and U.K. Retail Sales, both of which could add fire or water to the hawkish posture on inflation.
Canada will then release Retail Sales numbers (expected at -1.0% from +2.8% last). USD/CAD has been one of the bigger movers over the last week or so and this data might prompt some fresh volatility.
With no major data coming out of the U.S. tonight, focus will be on Fed speakers Waller and Clarida with currency players expected to eye equity and interest rate markets for short-term movements.
Have a nice weekend.