Equities are feeling a bit of a squeeze once again for a second day running, as we are looking to see more of a retracement move to the price action in November and December. US futures are nudging lower with S&P 500 futures down 0.3% and Nasdaq futures down 0.4%. European indices are also seeing red now, down by 0.7% to 1.0% across the board. Ouch.

It’s now just stocks that are being squeezed at the moment though. Oil is down as well to test the $70 mark, threatening a break below its 200-week moving average of $70.83. The key technical level has been a major support for oil all through 2023, so that will be one to watch going into the weekly close this week.

Besides that, Bitcoin is also down over 1% to $44,580 and we are seeing the dollar catch more of a bid as well. It’s a case of traders reversing course from the sell the dollar, buy everything else in the past two months. That is the case as gold is also down 0.3% to $2,052 and 10-year Treasury yields up another 3 bps to 3.978% on the day.

This article was written by Justin Low at www.forexlive.com.