A light one on the data docket in Europe today

Russia-Ukraine tensions are still the main issue in the spotlight for markets and we’re seeing a more risk-off tilt as a result of the latest developments. Equities are hammered lower and we’re seeing a decent chunk of safety flows into bonds, with investors needing to catch up a little considering the long weekend in the US.

But in the FX space, you can hardly tell what is going on if you look at this snapshot:

The yen is higher amid all the tensions but the big part of the move came from yesterday. The same can be said for the move lower in the euro. Meanwhile, the aussie and kiwi continue to show much resilience throughout the entire ordeal so that is something to take note of as well.

Looking ahead, economic data will take a backseat as risk sentiment is everything right now. I would be wary of the “optimism” in FX as a more sour mood in equities and bonds may eventually see a negative spillover to major currencies.

0900 GMT – Germany February Ifo business climate index
1100 GMT – UK February CBI trends total orders

That’s all for the session ahead. I wish you all the best of days to come and good luck with your trading! Stay safe out there.