The USD is down to start the North American session today. EURUSD (up 0.34%) and GBPUSD (+0.49%) are the leaders. USDJPY is down marginally at -0.02%. Markets are reacting to modestly lower yields, lower oil and higher stocks as the formula for a lower greenback continues. Lower tensions in the Middle East are a catalyst. In the video above, I talk about this move and put you in touch with the key levels of the game technically. What is short-term bias and why, where are the goals and risks for your trading. Be aware. Be prepared because news headlines are all you need to know when the bias for your trading pair turns either more bullish or more bearish.
As noted, US Treasury yields started the day marginally lower as traders downplayed some fears of energy-driven inflation. Crude oil is falling $1.60 to $89.70slide back down the key $90 levelWhich is helping to ease concerns about a renewed rise in inflation and taking some pressure off fixed income markets ahead of tomorrow’s CPI report.
- 2 year yield: 4.141%Below 1.7 basis points
- 5 year yield: 4.273%Below 0.8 basis points
- 10 Year Yield: 4.548%Below 1.2 Base Points
- 30 year yield: 5.029%Above 0.5 basis points
The decline in yields is relatively modest, suggesting traders are reluctant to make big bets ahead of Wednesday’s CPI release. While lower oil prices are providing some relief, the market’s focus remains on whether inflation data will validate the recent shift toward a more aggressive Federal Reserve approach to pricing.
US stocks are higher on relief and hopes of moon mission when SpaceX’s IPO begins:
- Dow +90 points
- S&P up 28 points
- Nasdaq up 214 points
Outside of Treasuries and the stock market, price action is visible
- Sleep: $4,340.01Above $10.29 Or 0.24%. The precious metal is recovering modestly as lower yields provide some support, although gains remain restrained ahead of tomorrow’s CPI report. Gold price broke below its 200-day MA on Friday and remains below that MA level at $4412.14. The price would need to rise above that MA to give buyers more control.
- silver: $68.54Above $0.41 Or 0.60%. Silver is marginally outperforming gold, rising after breaking and failing to break below its 200-day MA at $67.149 yesterday. Today’s low prices have found interested buyers in that area, keeping buyers’ hopes alive (low was $67.46).
- Bitcoin: $62,597Below $465 Or 0.74%. Cryptocurrencies are trading lower in early deals, giving back a portion of recent gains as traders remain cautious ahead of key US inflation data and Federal Reserve policy implications.
On the economic calendar today, traders will focus on US business data for April and existing home sales for May ahead of this week’s key inflation report.
US trade deficit expected to reduce -$56.0 billion From -$60.3 billion In March, while existing home sales are projected to increase further 4.07 million annual units From 4.02 million First. The final wholesale list will also be released with expectations of 0.5% (same as preliminary) against last month’s 1.5%.
However, the main event remains Wednesday’s Consumer Price Index report is due at 8:30 a.m. ET. Economists expect headline CPI to rise 0.5% month-on-monthraising the annual rate 3.8% to 4.2%While core CPI is also expected to increase 0.3% per monthmoving the rate year-on-year 2.8% to 2.9%. Inflation data will be closely watched for signs that higher energy costs and an inflexible labor market are beginning to generate renewed price pressures outside of energy. As markets brace for the possibility of at least one additional Fed rate hike this year, the report could play a key role in shaping interest rate expectations and broader market sentiment.
Comment; Also keeping an eye on BOC rate decision on Wednesday and ECB decision and US PPI on Thursday.
Another important event is much awaited this week spacex ipowhose price is expected to increase 11 June and start trading on NASDAQ 12 June under the ticker SPCX. This offering is targeting a record Raise $75 billion capital broadly based on valuation $1.75 trillionThat would make it the largest IPO in history and instantly put SpaceX among the ten most valuable publicly traded companies in the world.
Investor demand has been exceptionally strong, driven by SpaceX’s dominance in commercial space launches and its rapid growth starlink Excitement over its satellite internet business, and its AI and data infrastructure ambitions. The company produced approx Revenue of $18.7 billion in 2025However it remains unprofitable as it continues to invest heavily in future development initiatives.
