Markets opened the week on an optimistic basis, with US and European bond yields drifting lower, as did oil prices. Despite the kinetic activity escalating in the Middle East, there are prospects of negotiations, as a meeting between the US and Iran may occur, at the UN General Assembly this week. The US Dollar remained strong, with the EUR trading just above 1.1450, while the GBP fell back to 1.3370.
Commodity currencies were steady, with the AUD holding above 0.7100, while the NZD looks to consolidate above 0.5700. The People Bank of China ignored growing inflationary pressures and held interest rates at 3%, while eyes remain very much focused, on energy supply in Europe and Asia.
