Morning Update – 05/09/2016 – by Arjun Lakhanpal

Morning all..Wall St closed up after the NFP data Friday in what was a choppy session for stocks, FX and bond markets. Initially seeing US yields and the dollar fall, only for both to rebound strongly led by the US yields. Asia had a decent session with the Nikkei up just over 0.5% even though USDJPY fell off the highs and has looked offered most of the session. Even comments from the BoJ that they see no limits to easing, failed to lift USDJPY. The G20 meeting delivered little for markets to worry about. A Japanese report, published on the Foreign Ministry’s website on Friday, cites numerous concerns including that Japanese financial institutions may have to apply for corporate status in the EU if Brexit means they lose the ‘single passport’ – the right to operate across the bloc. It also raises worries over ease of access to unskilled labour, tariff protection, and London’s status as a clearing center for euro transactions: A clear warning on them doing business in the UK when Brexit arrives. In Australia, the benchmark ASX 200 was up 1.24 percent. The materials sector surged 2.08 percent, while the energy subindex and financials subindex were up 1.02 percent and 1.38 percent, respectively. Oil was unchanged as many on the sidelines due to the US Holiday.. This morning we get Services PMI data from across Europe and a lot of focus on the UK PMI services today.. Good luck..