investingLive European markets wrap: Calm and steady awaiting the Fed

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Headlines:

Markets:

  • WTI crude up 0.6% to $76.50
  • USD mostly firmer, NZD lags on the day
  • European stocks hold marginal gains, S&P 500 futures up 0.1%
  • US 10-year yields up 1.3 bps to 4.44%
  • Gold down 0.1% to $4,326
  • Bitcoin down 1.5% to $64,774

It was a relatively quiet session as we see a change of pace in markets, with a calmer mood following the US-Iran framework agreement earlier this week.

The deal is set to be signed on Friday and we're still yet to see the final text but the details are more or less what you'd expect here.

Instead, the focus now turns to the FOMC meeting decision later today. It's a bit refreshing to see markets pay more attention to something else other than US-Iran headlines for once.

This will be Kevin Warsh's first meeting as Fed chair. As such, there will be a lot of eyes and ears fixed on the Fed press conference later. As for the rate decision, no changes are expected in terms of policy setting today.

The dollar is keeping steadier, holding slight gains on the day as the push and pull this week continues. EUR/USD is down 0.2% to 1.1585 while USD/JPY continues to keep in intervention zone around 160.30 on the day.

Meanwhile, equities are holding more tentative after the retreat in Wall Street yesterday on likely profit-taking. S&P 500 futures are up just 0.1% but mostly flattish on the session with European indices also not really doing all too much.

In the commodities space, oil is up 0.6% to $76.50 after slumping hard in the past few sessions while gold is just marginally lower by 0.1% to $4,326 as traders lack any real conviction to run before the Fed decision today.

This article was written by Justin Low at investinglive.com.

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