As North American traders enter the session, markets are relatively mixed. U.S. equities are showing modest divergence in pre-market trading, yields are little changed, and oil prices are higher by roughly $3. The USD initially moved higher before giving those gains back, and is now trading near unchanged levels.
However, as is often the case ahead of a major event, price action is telling the real story. Traders are positioning cautiously ahead of tomorrow’s Fed decision, where the central bank is widely expected to leave rates unchanged.
On the economic calendar today, pending home sales will be released at 10 AM ET, with expectations at -0.5% versus -0.8% last month (index previously at 70.9).
Geopolitically, tensions remain elevated. The…