- Markets are pricing around an 80% chance of a 25bp RBA hike to 4.85% today, following last week’s sticky inflation print, with attention also on forward guidance for signals of further tightening.
- Oil prices fell overnight on hopes of a negotiated de-escalation in the US-Iran conflict, easing inflation concerns and pushing global bond yields lower.
- US equities gave up early gains as renewed weakness in technology and chipmakers weighed on sentiment, despite support from lower energy prices.
- Political uncertainty remains elevated as Americans head to the polls for today’s midterm elections, with the outcome potentially shaping US fiscal policy and broader market sentiment.
