Japan Consumer Confidence Hit 4-Year Highs

USD

On Monday, the U.S. dollar hit to a two-week highs after the U.S. Senate passed a tax bill over the weekend, boosting anticipations for a faster pace of rate increases from the U.S. Federal Reserve. On the economic calendar for Monday, markets are awaiting Durable Goods Orders index.

• The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was up by 0.32% at 93.186 pips.

EUR

The Single currency fell as much as 0.30%, to settle at $1.1860.

GBP

The Sterling pound edged lower by 0.22% against the Greenback to settle at $1.3443. Attention now turns to this today’s meeting between British PM Theresa May anpd EU Commission President Jean-Claude Juncker to work on a Brexit agreement.

JPY

The JPY fell as much as 0.64% vs. the USD, with USD/JPY at ¥112.91. Japanese consumer confidence improved in November to its highest level in four years, supported by surging stock prices and a strong job market.

Gold

Gold prices drafted lower amid anticipations that US tax code are closer to passage. Gold Futures - Feb 18 (GCG8) fell by 0.44%, to settle at $1,276.70.

Oil

Oil prices traded lower after the U.S.  Crude inventories increased by 1.8 million barrels in the week to Nov. 24 to 457.3 million, compared with market anticipations for a decrease of 2.3 million barrels.  Meanwhile, OPEC and non - OPEC major producers led by Russia agreed to extend output cuts until the end of 2018, while also signaling a possible early exit from the deal if the market overheats.

Crude Oil WTI Futures - Jan 18 (CLF8) fell as much at 0.75 % at $ 57.92 and Brent Oil Futures - Jan 18 (LCOF8) was down by 0.42% at $63.47.

The most important economic events:

• GBP Markit/CIPS UK Construction PMI (NOV): (GMT 09:30) – Important – Forecast (51) – Previous (50.8).
• USD Factory Orders (OCT): (GMT 15:00) – Important – Forecast (-0.4%) – Previous (1.4%).
• USD Durable Goods Orders (OCT F)

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.