FXstreet.com (London) - Richard Kelly, Head of European Rates and FX Research at TD Securities said the markets have started the week choppy.

Key Quotes:


“…data and events to build over the week”.

European equities are generally slightly higher on the day, though S&P futures are about 0.4% lower on the day”.

“Treasuries and bunds had started the day rallying but have given up those gains and in the case of bunds, are even 1-2bps higher”.

“The moves were led by FX as EUR/USD started to rally from its lows and take European rates higher, but this has all been a flow-based choppy morning as positions get settled into the key events risks later this week”.

"The BoJ’s Kuroda’s comments that the bank’s economic forecasts are unlikely to be changed by the expected sales tax hikes, and expectations for some announcement there from the government in August weighed on the Nikkei, though, and have seen JPY strength the outperformer”.