Dollar is so far mixed for the week after FOMC minutes unveiled that policy makers are divided on the rate path. The minutes for the June 14-15 FOMC meeting stated that it was "prudent to wait" for further economic data before considering another rate hike. The conditions included "economic growth had picked up, that job gains were continuing at a pace sufficient to sustain progress toward the committee's maximum-employment objective and that inflation was likely to rise to 2% over the medium term." Member's view on outlook for jobs diverged with some worried on a period of cooling in hiring. Also, some officials noted the signs in bond markets that suggested softening inflation expectations. Dollar index jumped yesterday to as high as 96.49 but lost momentum ahead of near term resistance at 96.70. The greenback will now look into tomorrow's non-farm payroll report for the needed strength for a breakout.
Elsewhere, the pull back in stocks markets look rather shallow and brief so far. DJIA ended overnight up 78.0 pts, or 0.44%, at 17918.62. S&P 500 rose 11.18 pts, or 0.54%, to close at 2099.73. Asian markets are mixed with Nikkei trading down -0.34% while HK HSI is up 0.74%. FTSE lost -1.25% yesterday but it might follow overall market sentiments and regain some ground. Stocks were also helped by the recovery in oil price, as WTI defended lower side of recent range at around 46 and is back at 47.6 for the moment. Gold remains firm at 1370 with healthy upside momentum. In the currency markets, Yen remains the strongest one while Sterling continued to be pressured by Brexit Blues. The development to note is that commodity currencies diverge with Aussie having extra strength.
On the data front, Germany will release industrial production today. Swiss will release foreign currency reserves and CPI. UK will also release industrial and manufacturing productions. US will release ADP employment, jobless claims. Canada will release building permits and Ivey PMI.