Are equities straying offside today?

<p>It is definitely some hopeful optimism but as we learned last week, the early gains definitely do not mean much. There was some modest dip buying on Friday that helped to salvage a poor start in Wall Street. That seems to be continuing here but I would still reserve some caution after all the selling in the past three weeks.</p><p>European indices are also holding decent gains on the session now with the DAX up 0.7% and CAC 40 up by 1.0% on the day.</p><p>That said, things tend to take a life of its own when it comes to US trading later and I would be remiss not to point out that bond yields are still holding higher and perhaps eyeing a breakout as seen <a href="https://www.forexlive.com/news/the-bond-market-still-in-the-spotlight-at-the-moment-20230821/" target="_blank" rel="follow">here</a>. So, just be wary of that.</p>

This article was written by Justin Low at www.forexlive.com.