investingLive European markets wrap: Risk sentiment stays on edge for now

Headlines:

Markets:

• GBP leads, CAD lags on the day
• European equities lower; S&P 500 futures down 0.1%
• US 10-year yields down 0.6 bps to 4.085%
• Gold up 0.8% to $3,963.47
• WTI crude oil down 0.3% to $60.33
• Bitcoin up 2.3% to $102,629

There wasn’t too much in the session as traders and investors took a bit of a breather from the risk rout in the past day. The heavy selling extended to Asia but eased up as we got to the handover to European trading.

S&P 500 futures fell as much as 0.8% earlier in the day but are now down just 0.1%, still leaning on the more cautious side as we look towards the Wall Street open later.

That’s keeping broader markets on edge with major currencies not showing all too much appetite. USD/JPY fell to a low of 153.00 during Asia trading but is now trading flattish again at 153.70. That despite some verbal intervention by Tokyo once again.

As for the dollar itself, it is keeping steadier for the most part with mixed changes although light in general across the board. GBP/USD is up 0.2% to 1.3043 while AUD/USD is down 0.2% to 0.6478 on the day.

As risk appetite picks up a little, we’re also seeing Bitcoin hold the line at the $100,000 mark. There was a brief dip under six figures earlier in the day but buyers quickly stepped in and that’s keeping things in check just for the time being at least.

In other markets, gold is also holding higher with dip buyers staying in search of a return towards $4,000 with silver also seen up 1% to $47.60 in hoping to end three straight days of losses.

The US government shutdown is going to be the longest one yet and that continues to grip markets in having to wait on key US economic data. But at least for today, we will have the ADP employment data and ISM services PMI to work with in the session ahead besides watching out for the AI trade shakeup and general risk mood.