US and European equities traded lower overnight, under immense pressure from high bond yields and inflation. Oil prices spiked back above US$90/barrel, following speculation that the US would seek a military solution to the Iranian crisis. It appears any decision, will not come until, after the early November US mid-term elections. The EUR regained 1.1200, while the GBP consolidated above 1.3200.The pressure remains on commodity currencies, with the AUD struggling around 0.6950, while the NZD looks to regain 0.5600. Further tensions in the Middle East, energy calamities of supply and inflation, will all test bond yields and currencies.
