The Greenback Stands Tall vs. Major peers

USD

On Friday, the Greenback settled high vs. a basket of major currencies as the yen was hit by weaker than CPI data and the single currency and pound declined on tapering and Brexit concerns respectively.

Data on Thursday showed that the number of people seeking unemployment benefits in the U.S. last week rose less than expected, remaining close to the lowest level in four decades.

On the release front, markets are awaiting the U.S. Gross Domestic Product, which is expected to hit 2.6% from the previous reading of 3.1%.

• The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was up 0.23% at 94.77 pips.

EUR

The U.S. dollar rose as much as 0.21% vs. the Single Currency with EUR/USD at 1.1627. The Euro traded under pressure yesterday after the ECB president Mario Draghi mentioned that the ECB’s asset purchase program could be extended for a period of nine months.

The European Central Bank announced its intention to rein in monetary stimulus, reducing its monthly purchases of bonds to €30 billion.

JPY

The JPY fell as much as 0.1% at ¥113.98 vs. the USD negatively affected by weaker than CPI data.

GBP

The Sterling Pound settled lower as the British government said on Thursday its key piece of Brexit legislation would be debated in parliament on Nov. 14 and 15. The Greenback rose as much as 0.59% vs. the GBP to settle at $ 1.3083.

Gold

Earlier today, Gold prices fell dramatically and declined to a three-week low as dollar strength continued to put pressure on the precious metal and risk appetite for equities remained high. Gold Futures - Dec 17 fell as much as 0.3% at 1,269.25.

Oil

Oil prices settled, with Brent crude hovering near $60 a barrel, backed by comments from Saudi Arabia's Crown Prince, as he said the kingdom would support extending the output cut in a bid to stabilize oil demand and supply.

Crude Oil WTI Futures - Dec 17 fell settled at $52.64, and Brent Oil Futures - Dec 17 fell as much as 0.2% at 59.30 

Economic Calendar (all times in GMT)

• EUR ECB Survey of Professional Forecasters: (GMT 08:00) – Medium
• USD Gross Domestic Product (Annualized) (3Q A): (GMT 12:30) – forecast (2.6%) – Previous (3.1%).

Disclaimer
The prices and news mentioned in this outlook are absolutely no guarantee of future market performance and do not represent the view of ICM Capital Limited. Financial markets can move in either direction causing profits to be made or complete losses to be incurred by the trader. Each trader must decide for themselves what their risk appetite is and ensure that correct risk management procedures are in place before placing any trades.