The US Dollar Index (DXY) see-sawed yesterday moving from highs 94.73 to lows of 94.32, reports of emerging markets taking the lead with JPMorgan's Emerging Market Local Government Bond exchange-traded fund received $169 million in inflows on Tuesday, the highest inflow since June 2017 kept the lid of any moves back up towards the 95 handle.
US housing starts rose in August more than markets has expected which was boosted by a jump in multifamily construction. This is a positive sign for the housing market which has underperformed the broader economy amid rising interest rates for home loans. Housing starts rose 9.2 percent to a seasonally adjusted annual rate of 1.282 million units in August, the Commerce Department said on Wednesday. Analysts polled by Reuters had expected an annual rate of 1.235 million units. Meanwhile, the number Privately-owned housing units authorized by building permits in August fell 5.7 percent to a rate of 1.229 million units.
US Treasury yields moved higher as did crude oil to USD 71.34 a barrel has since retraced to 70.84. Gold also moved higher and currently sitting at 1206/oz. US fundamentals this morning was sound with the Initial Jobless Claims printing their lowest level since 1969. Manufacturing activity in the Philadelphia region printed well above the previous of 11.9 and consensus of 17.0 at a whopping 22.9. Existing home sales figures will be released at 10 am EST, expectations are for a 5.34M print.