Markets Today: Carney underpins GBP, Eurozone CPI – Up next

Risk-off sentiment extended into Asia on Monday, in light of FBI’s probe against Clinton, while broad based US dollar recovery emerged the main theme today, with the bulls correcting last Friday’s massive sell-off.

The uncertainty over BOE Governor Carney’s future was also put at rest, after the BOE Chief told friends that he is likely to make a statement on his future this week, FT reported.

Looking ahead, markets eagerly await the German retail sales and Eurozone flash CPI estimate due to be reported in the European session for fresh incentives. While the US docket offers Fed’s preferred inflation gauge, personal spending and Chicago PMI data.

Main topics in Asia

FBI obtains warrant for newly found Clinton emails

According to NBC, the FBI has obtained a warrant for newly found Clinton-related emails. The news come after last Friday's bombshell story of emails related with recent Hillary Clinton's FBI investigation being found in devices belonging to Anthony Weiner and his wife, Huma Abedin, a Clinton's top aide. 

BoE's Mark Carney: "Should I stay or should I go now?"

The Financial Times (FT) reported this weekend that, "Mr Carney has told friends that he is likely to make a statement on his future this week to put an end to damaging speculation."

US election polls are now narrowing: the Gop seized the day over new Clinton FBI investigation

The notion stands that a Clinton victory is USD positive and a Trump is USD negative. To date, the race has been a battle of the lesser evil while both parties have set out to blame and shame each candidate and expose each other's flaws and imperfections. 

Goldman Sachs: USD strength a concern for Fed, could delay rate hike

“Tight financial conditions contributed to the Fed's decision to delay its first rate hike and we believe that similar concerns may arise if the dollar appreciates back to its January levels.”

Key focus for the day ahead

Eurozone flash CPI preview - Nomura

Research analysts at Nomura provided fresh insights on the upcoming Euro area flash HICP estimate, with expectations of a 0.5% y-o-y reading.

EUR/USD keeps the red around 1.0970 ahead of EZ CPI

The main currency pair is seen on a minor-corrective mode this Monday, reversing a part of Friday’s rally, triggered by heavy broad USD selling after FBI re-opened probe into Clinton’s email-scam.

FOMC Preview: Fed is very unlikely to raise rate this week – Goldman Sachs

“We expect the statement following (the) FOMC meeting to remain relatively upbeat about US growth prospects. However, the committee is very unlikely to raise the funds rate.”