Currency Updates:
U.S. Dollar Trading (USD) was on the front foot as risk aversion crept back into the market on continual growing unease with some European countries Debt issues. The G20 has failed to produce much as of yet but markets are watching closely for any friction particularly on US FED Monetary Policy. In US stocks, DJIA -73 points closing at 11283, S& P -5 points closing at 1213 and NASDAQ -23 points closing at 2555. Looking ahead, November UoM Consumer Confidence is forecast at 63.5 vs. 61.9.
The Euro (EUR) market talk of EU Irish bailouts and bondholders having to bear the pain in any cost of bailouts. With Stocks also under pressure the Euro pushed lower towards 1.3600 and the market is growing in bearishness. EUR/USD traded with a low of 1.3607 and a high of 1.3822 before closing at 1.3650. Looking ahead, Q3 GDP forecast at 0.4% Q/Q, 1.9% Y/Y.
The Japanese Yen (JPY) USD strength helped the major stay above Y82 even as crosses came under pressure from risk averse selling. EUR/JPY is struggling to find support breaking back below Y113. Overall the USDJPY traded with a low of 82.02 and a high of 82.63 before closing the day around 82.40 in the New York session.
The Sterling (GBP) continued to outperform on the back the BOE inflation report and heavy unwinding of long EUR/GBP positions. GBP/JPY also remained strong above Y132 and is threatening to break higher. Overall the GBP/USD traded with a low of 1.6079 and a high of 1.6182 before closing the day at 1.6130 in the New York session.
The Australian Dollar (AUD) had a wild day of trading falling aggressively towards parity after mixed jobs data. October Unemployment Rate jumps to 5.4% vs. 5.1% even as +29k jobs were created. Risk off trading in the US sent the pair back below 1.000 and the market closed under the key level for a bearish market signal. Overall the AUD/USD traded with a low of 0.9951 and a high of 1.0099 before closing the US session at 0.9970.
Oil & Gold (XAU) close back above $1400 as sovereign risk trumped the USD strength. Overall trading with a low of USD$1396 and high of USD $1418 before ending the New York session at USD$1406 an ounce. Oil reversed direction on profit taking. WTI Oil Closed -$0.09 at $87.72 a barrel.
