Dollar Swaps Ease Liquidity: Futures Up Sharply : Oil at $31 :VIX at 68
The US Fed increased its dollar swap line with many of the world's central banks to ease the growing liquidity crisis as the greenback has becomes the safe haven of choice. This has eased the pressure on gold and oil and helped the VIX move back to 68 from yesterday's 75. It remains elevated and volatility will continue for the foreseeable.
GBP has recovered some ground up 2.5% at pixel to $1.17.
We are likely to see a sharp bear market rally - potentially over the next few days as the extraordinary measures from countries and central banks around the work start to kick-in . This will take us from deeply oversold. Given the prevailing macro and uncertainty , it is likely that this rally won't last unless there is a marked improvement in the COVID-19 uncertainty. Bear market rallies tend to be fast, furious and then fizzle out