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After a recovery on risk assets yesterday, there is far more of a cautious feel to major markets this morning. Selling risk assets into strength has been a consistent theme as key data has continued to paint a picture of mounting recession risks. Nonfarm Payrolls will be in focus today.
The huge selling pressure on the USD in the wake of the lower-than-expected US inflation shows little sign of reversing yet. Positive risk appetite has been helped by news of China relaxing some COVID protocols.
The USD has fallen sharply since Nonfarm Payrolls and the ISM Services PMI dropped below 50. USD is weakening on major forex, with metals and indices higher.
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