Elsewhere, China again teases US President Trump and got a hit from Aussie PM while using coercion to stop an investigation into the virus outbreak. Further, Australia’s June month Consumer Inflation Expectations also weakened from 4.2% forecast to 3.3%.
Against this backdrop, Wall Street had the worst day of June whereas DJI30 marked the biggest losses in a few weeks. Additionally, the US 10-year Treasury yields shed another heavy part of it, 8.8 basis points, while revisiting the sub-0.70% area.
However, the current pessimism is more likely to be the pullback after the heavy rise than the broad negative phase. It should be noted that the Fed’s readiness to fight against the virus and the recent recovery in data should gain a more priority. On the contrary, the recent declines in the pair can be termed as a retracement after a heavy rise unless managing to stay for a bit longer.
Against this backdrop, Wall Street had the worst day of June whereas DJI30 marked the biggest losses in a few weeks. Additionally, the US 10-year Treasury yields shed another heavy part of it, 8.8 basis points, while revisiting the sub-0.70% area.
However, the current pessimism is more likely to be the pullback after the heavy rise than the broad negative phase. It should be noted that the Fed’s readiness to fight against the virus and the recent recovery in data should gain a more priority. On the contrary, the recent declines in the pair can be termed as a retracement after a heavy rise unless managing to stay for a bit longer.
