Dollar falls as China data lifts US stocks
With most European markets still closed for Easter yesterday the focus was on the US, Middle East and Asia.
The dollar fell and US Treasuries held gains as soft inflation data from the US continued to feed into markets after the holiday weekend.
Yesterday US stocks edged higher as upbeat economic data from China offset lingering geopolitical concerns.
The S&P 500 Index rebounded from a weekly drop, though trading was light even where markets were trading.
Bloomberg's Dollar Spot Index slipped to the weakest in three weeks while the yield on 10-year Treasuries held near a November low. Gains in gold and the yen faded.
Turkey's lira jumped as much as 2.4pc after a vote there on Sunday expanded powers for the president, though it gave up a lot of that gain as the session went on.
Ahead of the ballot, foreign ownership in Turkey's local bond markets had fallen to a five-year low. Investor views on the outcome are mixed. While the 'yes' vote raises fears that Tayip Erdogan will have greater sway over economic and monetary policies, some investors say his win provides a measure of political stability in the short term.
With the market split, Turkish asset prices are likely to remain volatile.
Investors everywhere will be bracing for more uncertainty elsewhere too, as the earnings season ramps up and European populism is put to the test in the first round of France's presidential election.
"Geopolitical uncertainty weighed on global markets over the holiday weekend," said Cole Akeson of Sberbank CIB in Moscow. "For global markets generally and European markets in particular, the first round of the French presidential election on Sunday is probably the biggest planned event of the week."