The U.S. Dollar Stands Tall

USD

On Tuesday, the Greenback traded higher vs. a basket of the other major currencies as traders continued to monitor the progress of the U.S. tax bill, while the single currency declined to the lowest level in three months. On the economic calendar for Tuesday, markets are awaiting the U.S. Consumer Credit, which is expected to hit $17.500b from $13.065b.

• The U.S. dollar index, which measures the greenback’s strength vs. a trade-weighted basket of six major currencies, was up 0.36% at 94.96 pips.

EUR

The single currency fell as much as 0.31%, with EUR/USD at $1.1574. The Euro remained down since the ECB said last month that it is extending its massive asset purchase scheme until September 2018.

GBP

The Sterling pound traded lower vs. the stronger dollar with GBP/USD down by 0.24% at $1.3140.

JPY

The JPY fell as much as 0.55% vs. the Greenback to settle at ¥114.32, as Republican lawmakers began revising their proposed overhaul of the U.S. tax-code.

Gold

Gold prices declined, as traders sold the precious metal to lock in profits following the nearly 1% gain in the prior session. The yellow metal rose 1% yesterday, the biggest percentage gain in about six weeks, on concerns over corruption arrests that targeted royal family members and ministers in Saudi Arabia. Gold Futures - Dec 17 (GCZ7) fell as much as 0.36% at $1,277.00.

Oil

Oil prices traded flat, pausing for breath after rallying to their highest levels since the summer of 2015 in the previous session.

Crude Oil WTI Futures - Dec 17 rose as much as 0.07% at $ 57.39, while Brent Oil Futures - Jan 18 was down by 0.08% at $64.22.

Economic Calendar (all times in GMT)

• EUR ECB's Draghi, Lautenschlaeger, Nouy Speak in Frankfurt: (GMT 09:00) – Important
• CAD Bank of Canada's Stephen Poloz Speech in Montreal: (GMT 18:00) – Important
• CAD Bank of Canada Governor Poloz Press Conference: (GMT 19:00) – Important

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.