Market wrap: US holidays left markets stable - Westpac

Analysts at Westpac offered a market wrap.

Key Quotes:

"Global market sentiment: Fx and interest rate markets were relatively stable last night, the US on holiday. Oil prices spiked higher on expectations of a Saudi-Russian agreement but retraced to be up 1.7% currently.

Interest rates: The US treasury market was closed but 10yr futures did trade, eking a narrow sideways range around 1.60% equivalent. Market pricing of the Fed funds rate firmed slightly, implying around a 35% chance of a rate hike in September, a 75% chance by December, and 100% by April 2017.

Currencies:  The US dollar index had a small bounce during the London session. EUR slipped from 1.1180 to 1.1139. USD/JPY preserved the day’s earlier decline, ranging btewbetween.103.15 and 103.48. AUD slipped from 0.7606 to 0.7576. NZD slipped from 0.7344 to 0.7298. AUD/NZD traded between 1.0360 and 1.0390."