Eurostoxx futures -1.0% in early European trading

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Softer tones observed in early trades

  • German DAX futures -1.5%
  • UK FTSE futures -0.6%
  • Spanish IBEX futures -0.9%
Risk is tilted to being ‘off’ as we get the session started, with US futures also seen lower by ~0.7%. Virus jitters are resurfacing with the situation across Europe and the US looking more and more pessimistic over the past few weeks.

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The softer mood is helping to keep the dollar firmer, with EUR/USD testing its 100-hour moving average close to session lows around 1.1829 currently.

Treasuries are also firmer, with 10-year yields seen down 3 bps to 0.813%. The 200-day moving average is a key level that is holding up for now:

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