Currency Updates:
U.S. Dollar Trading (USD) some stronger than expected October Jobs data helped inspire Dollar buying into the weekend. October Non Farm Payrolls were at 151k vs. 60k forecast whilst the Unemployment rate stayed at 9.6%. In US stocks, DJIA +9 points closing at 11444, S& P +4 points closing at 1225 and NASDAQ +1 points closing at 2578. Looking ahead, October Employment Trend previously at 97.
The Euro (EUR) fell back from month highs in Europe even before US Jobs numbers extended the Euro&rsquo s move lower. The pair closed near 1.4000 supports and a key pivot level with the market still hesitant on pushing the Euro higher with lingering European Debt concerns and US QE2 already priced in. EUR/USD traded with a low of 1.4024 and a high of 1.4027 before closing at 1.4035. Looking ahead, German Trade Balance is forecast at 11.9bn vs. 11.7bn previously. Industrial Output is forecast at 0.5% vs. 1.7%.
The Japanese Yen (JPY) reacted positively to the jobs data with the market reclaiming Y81 and closing near Y81.50, threatening to push higher if crosses such as the AUD/JPY continue to extend gains. Overall the USDJPY traded with a low of 80.63 and a high of 81.47 before closing the day around 81.32 in the New York session.
The Sterling (GBP) strong risk appetite competed against the USD strength to have cable finish slightly lower just under 1.6200. EUR/GBP continued to fall back below 0.8700. Overall the GBP/USD traded with a low of 1.6168 and a high of 1.6292 before closing the day at 1.6187 in the New York session.
The Australian Dollar (AUD) actually gained against the USD after the Jobs report with the Aussie tracking the US stock market and risk appetite higher. AUD/JPY in particular was strong pushing up to multimonth highs above Y82.50. Overall the AUD/USD traded with a low of 1.0086 and a high of 1.0183 before closing the US session at 1.0151.
Oil & Gold (XAU) in a very bullish move, USD strength after the Jobs data was reversed and fresh record highs just under $1400 were seen. Overall trading with a low of USD$1372 and high of USD $1398 before ending the New York session at USD$1394 an ounce. Reacted positively to US jobs data gaining to week highs above $87 a barrel. WTI Oil Closed +$0.35 at $86.85 a barrel.
