Treasury futures declined as trading resumed on Monday, though cash Treasuries remained inactive in Asia due to Japan’s market holiday. The US dollar softened in early Asian trading, while the euro led gains among G-10 currencies, rising 0.5% against the greenback. The move came after Germany’s conservative leader Friedrich Merz signaled his intent to swiftly form a new government following a decisive federal election victory.
Oil Pressured by Supply Outlook, Gold Stays Near Record High
Crude prices remained under pressure as expectations of increased output from Iraq weighed on market sentiment. Meanwhile, gold hovered just below last week’s all-time high, underpinned by weak economic data and growing concerns over inflation, reinforcing its appeal as a safe-haven asset. Investors continue to monitor macroeconomic signals, with gold’s trajectory closely tied to shifts in inflation expectations and broader market uncertainty.