In Europe markets showed some resilience with the FTSE (+0.1%) and DAX (+0.1%) eking out very modest gains. The CAC (-0.6%) didn’t fare so well.
Stateside, the Dow shed 92 points (-0.7%), whilst the broader S&P lost six points (-0.4%) and the Nasdaq closed marginally lower.
A mixed batch of earnings reports failed to provide inspiration, with investors remaining cautious due to the deadlock in Washington.
Canada’s dollar appreciated to the highest level since November 2007 overnight, with the greenback declining against all of its most-traded counterparts amid ongoing concerns about US lawmakers’ ability to reach agreement on the debt ceiling.
The US dollar also slipped below 78 yen for the first time since March and fell to a record versus the Swiss franc.
Commodities enjoyed a strong night last night with copper rallying 1.6%, crude oil adding 0.4% and gold continuing its strong run, adding a further 0.5%.
Today’s session will bring us important local data in the form of the latest CPI numbers, which are slated for release at 11:30am, AEST.