Rates as of 0500 GMT
Note The USD and CAD indices are not updating.

Market Recap

Note Im having problems gauging exactly whats happening in the market as Deutsche Banks USD and CAD tradeweighted indices arent updating. I use those because theyre the only series that I can get that are built in a consistent way across currencies, but Im at the mercy of some programmer in DB as a result. I prefer to judge whether a currency is up or down by using a TWI rather than just gauging it against the dollar, although probably its movement vs the dollar matters more for traders. Thats why I also include the table at the bottom. In any event the two changes are usually pretty close, since in most cases the USD is the largest component of the TWI anyway.

A mixed day for risk as stock markets were off slightly from Mondays record highs ahead of todays Federal Open Market Committee FOMC meeting see below. Commodities however powered ahead, with copper and oil both gaining further.

The big action was in bond markets, particularly US Treasuries, thanks to yesterdays auction of 62bn in 7year notes. The auction went OK Ill spare you the details but bond prices continued falling afterward anyway. Tenyear Treasury yields rose 5.5 bps to 1.62. Rising commodity prices may be pushing inflation expectations up the tenyear breakeven inflation rate rose 3 bps to 2.39, the highest level since April 2013. Yields were also higher in Europe, although not by anywhere near as much.

JPY was the…