Currency Updates:
U.S. Dollar Trading (USD) was stronger against most pairs as the risk appetite waned and stocks came under pressure in the Europe before rebounding later in the US session. Weekly Jobless Claims beat expectations at 435k vs. 456k previously. US September Trade Balance improved to -44bn vs. -46bn previously. In US stocks, DJIA +10 points closing at 11357, S& P +5 points closing at 1218 and NASDAQ +15 points closing at 2578. Looking ahead, US Bank Holiday.
The Euro (EUR) European stocks fell over 1.5% on resurgent fears that peripheral European Countries where under pressure. Irish and Portuguese Bond Yields continued to rally as investors demanded greater returns for the risk. EUR/USD traded with a low of 1.3669 and a high of 1.3827 before closing at 1.3770. Looking ahead, G20 leaders meeting commences.
The Japanese Yen (JPY) rallied as the market turned slightly bullish after consolidating for the previous few trading session and the Dollar gained ahead of the G20 meeting. Resistance was found ahead of Y83 but the market has been short for months so on the lookout for a short covering rally. Overall the USDJPY traded with a low of 81.54 and a high of 82.80 before closing the day around 82.30 in the New York session.
The Sterling (GBP) was strong across the board as the Bank of England inflation report showed uncertain outlook but still a chance of higher than expected inflation which may prompt sooner than forecasted rate hikes. Overall the GBP/USD traded with a low of 1.5958 and a high of 1.6139 before closing the day at 1.6120 in the New York session.
The Australian Dollar (AUD) tested Parity a few times throughout the day before finishing on a firm footing with the late rally in the US session. November Consumer Sentiment fell 4.7 but the market is watching commodities and stocks for direction in recent trading sessions. Overall the AUD/USD traded with a low of 0.9973 and a high of 1.0074 before closing the US session at 1.0040. UPDATE OCTOBER UNEMPLOYMENT RATE JUMPS TO 5.4% from 5.1%.
Oil & Gold (XAU) pivoted around the key $1400 level with profit taking competing with fresh buyers. Overall trading with a low of USD$1383 and high of USD $1411 before ending the New York session at USD$1403 an ounce. Oil Surged on Bullish US Oil Inventory Data. WTI Oil Closed +$1.33 at $88.05 a barrel.
