Overnight markets: risk-on, will Tokyo follow the lead? - Westpac

Analysts at ANZ offered a snapshot of overnight action from the US shift.

Key Quotes:

Equities rose with better earnings, while rates were little changed and the US dollar was mixed to lower.

The S&P 500 was up 0.5% at the time of writing, with tech stocks leading gains. European bourses finished 0.6-0.8% higher ahead of the ECB meeting tonight, while EUR dropped around 0.3%, but is still above 1.15.

AUD and CAD continued to rise, with firmer commodity prices and firm Canadian activity data.

USD/JPY is trading at key technical levels ahead of the BoJ meeting after falling as low as 111.60 in the NY morning.

US treasuries are about 1bp higher across the curve while moves in Europe were similarly muted.

Oil fluctuated, but is up 1.3% after the EIA reported a drawdown in oil inventories in contrast to API’s reported gain yesterday. Gold dropped back down to $1240/oz."