The US Dollar
The US Dollar descends from a 14-year peak, as it runs out of growth catalysts. Everyone’s heads are turned to Trump, as he must present his economic plan for the Dollar and US stocks possible future. The rate futures showed a 95.4 percent chance of a rate hike in December.
Oil prices advanced as the Russian leader Vladimir Putin said, at the conference in Lima, that Russia is ready to support OPEC output curb. He also noted that the serious divide between OPEC members has been sorted, and from now on it shouldn´t be difficult to get around with the rest of the discords. Both Crude benchmarks gained 2 percent.
The British currency is stalling near the Fridays close in the absence of a bullish momentum. It is still unclear, what will happen when UK leaves EU, as the conditions are not set for the local businesses. This, in turn, weighs down on the currency.
Investors return to the emerging markets, as they see no future rally from the raging US Dollar. The surge in the commodity market supported the Russian, Brazilian and South-east Asian stocks. At the same time, USD/JPY pair decreased 0.2%, as the Dollar loses grip and renewed the demand for safe heavens. The Rouble resumed advances fuelled by the Oil gains, drawing the attention of the carry traders.
The US and German bonds trade mixed, showing a minor inclination for resuming the route. Yields on the US 10YR bonds fell, indicating a renewed demand. The profit of the German 10YR debt rose slightly and the returns of the Japan bonds stay unchanged.
The precious metal rose half a percent, as speculators push the price up in the absence of a further bearish pressure.
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