Dollar strong amid a slight risk-on environment driven by U.S. China trade optimism
Kathryn Garvey | November 26, 2019
“Be thankful for what you have; you’ll end up having more. If you concentrate on what you don’t have, you will never, ever have enough.”Oprah Winfrey
November 26, 2019
EUR/USD 1.1011 GBP/USD 1.2844 USD/CAD 1.3307 AUD/USD 0.6773 USD/JPY 109.07 USD/CNH 7.0338 USD/ILS 3.4595 USD/MXN 19.4692 USD/CHF 0.9972 USD/INR 71.4950
The dollar near six-week highs amid trade optimism. U.S. and Chinese officials are working on the ‘phase 1’ deal, both sides agreeing to continue to work towards the deal. If not reached before the December 15th deadline, President Trump will have to decide whether or not to impose additional tariffs. In his final remarks before the Fed enters a quiet period, Jerome Powell said that their current monetary stance is appropriate and that the central bank is not on a preset course. New Home sales and consumer confidence figures are due out today.GBP
Latest UK poll results show the Conservative party’s lead narrowing for the December 12th general election. Investors sold off the pound on fear of a Labour government under opposition Jeremy Corbyn. A Conservative win reduces political and Brexit uncertainty, and may be positive for sterling in the short term, while a Labour majority will renew Brexit uncertainty.EUR
The euro advanced slightly versus major counterparts and is trading in a tight range around the 12-day low to the U.S. dollar. German consumer confidence surprised to the upside this morning. ECB’s Vilroy reiterated in a statement that the current low interest rates will continue to sustain the Eurozone economy.CAD
The Canadian dollar trimmed some losses versus the U.S. dollar as WTI ticked 0.5% higher.ASIA/PACIFIC
After comments out of U.S. China trade negations sent USDJPY to a two week high, the Japanese yen gained some strength and steadied just under 109. The Chinese yuan also ticked higher after the trade call in which both sides agreed to continue talks to work towards a 'phase 1' deal.
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