As of yet there has been no deal struck in Washington, but the clock has not quite exploded yet and caused oblivion. The broad markets are trading as if they are not too worried about a default from the United States regarding debt. While there may be a delay in some payments it simply doesn’t seem within the realm of possibility that the President and Congress will bring about an economic catastrophe in the coming days. Call it what you may – a deal, a compromise, an extension, etc., investors remain outwardly calm that some working agreement will take shape and the markets remain calm and cautious.

Equities while not achieving significant gains have managed to avoid significant losses. Data continues to come in too which has allowed the market to react to economic fundamentals. The Empire State Manufacturing Index proved negative yesterday from the States. Oddly enough the Beige Book report will come from the U.S. today.

The EUR has traded slightly lower but has not exactly sold off sharply against the USD. Trade Balance numbers will come from Europe today. The GBP has moved into an interesting range. While not testing the highs it made a couple of weeks ago, Sterling remains within the upper reaches of its values. Jobless data will come from the U.K. shortly.

Gold has come off of its support levels and is trading within what remains a known range. Traders who have the stomach to allow for the precious metal to gyrate could find opportunities. Having said that Gold as of this morning is near 1282.00 USD and its trend has not exactly changed – meaning downward pressure will likely continue to be seen after most climbs.

The JPY has traded weaker the past week against the USD. Economic data from Japan continues to be rather lackluster. While the Japanese government has been adamant about implementing new economic policy, recent data like the Revised Industrial Production statistics show that there are no magic pills. In other news from Asia,  stay on the look out for China’s Industrial Production and GDP marks early Friday.

Most investors continue to monitor what is taking place in Washington, D.C. and watch without any sense of panic. Having seen this ‘show’ before trading has remained tame globally. FX, commodities, and equities trade with the knowledge that the sun will continue to rise from the east.