Let’s begin today’s market commentary with the macro calendar. The schedule is relatively quiet today, with the only notable release being US unemployment claims. That means markets are likely to be driven more by sentiment and positioning rather than fresh macro catalysts.
Yesterday’s data, however, was clearly supportive. The US ISM Services PMI came in above expectations, and ADP Nonfarm Employment Change also surprised slightly to the upside. Taken together, these releases reinforced the narrative of a resilient US economy. That may partially explain why equity markets staged such a strong rebound.
Stocks had a very successful session yesterday. Major indices moved sharply higher, and the overall tone shifted firmly into risk-on territory. We also saw some recovery attempts in emerging market currencies, which typically benefit when risk appetite improves.
Looking at the FX market today, the picture is somewhat mixed. The Australian dollar and the British pound are under pressure, while the US dollar and the Canadian dollar are strengthening. The Norwegian krone is also gaining. This is not entirely surprising, as these currencies belong to major oil-exporting economies. With oil prices rising, currencies such as the US dollar, Canadian dollar, and Norwegian krone are receiving additional support.
In the commodities space, oil remains one of the strongest performers. Crude is up roughly 2% at the end of the Asian session and has risen about 35% year-to-date. The energy market continues to benefit from strong demand expectations and ongoing geopolitical factors.
Precious metals are relatively calm today. Gold is trading slightly higher, while silver is underperforming a bit, resulting in a generally flat session for the metals complex.
Finally, cryptocurrencies had an exceptionally strong day yesterday. Bitcoin rallied nearly 10% in a single session, marking one of the strongest daily performances in recent weeks. The move highlights renewed speculative appetite and stronger risk sentiment across digital assets.