UK Jobs report, India CPI in Focus today
FX Update
The euro slipped to a 4.5-month low against the U.S. dollar on concerns over potential U.S. tariffs impacting the euro zone economy. Meanwhile, the greenback neared post-election highs as markets focused on data, Fed speakers, and awaited clarity on U.S. policy. The dollar index traded at 105.50, up 0.54%.
The Indian rupee slipped to an all-time low, pressured by weakness in regional currencies and sustained outflows from local equities but central bank intervention helped avoid sharp losses, traders said. The currency INR ended at 84.3925, eclipsing its previous record low of 84.3875 hit last week. The currency was down 0.02% on the day.
Crude Oil:
Crude Oil prices fell over three percent, after China’s stimulus plan disappointed investors seeking fuel demand growth in the world’s No. 2 oil consumer and as the U.S. dollar edged higher. A stronger dollar makes greenback-denominated commodities such as oil more expensive for holders of other currencies and tends to weigh on prices. In China, consumer prices rose at the slowest pace in four months in October while producer price deflation deepened, data showed on Saturday, even as Beijing doubled down on stimulus to support the sputtering economy.
Gold:
Gold prices declined for a second day, hurt by a firmer dollar and increased risk appetite, as markets expect the Federal Reserve to adopt a cautious approach under U.S. President-elect Donald Trump’s administration.
Copper:
Copper extended its losses as the dollar gained strength on growing anxiety about future U.S. trade policy under President-elect Donald Trump and demand prospects from top consumer China remained weak.
Prices action (MCX)
Gold 75351 (-2.49%), Silver 89182 (-2.29%), Copper 821.30(-1.57%) Crude Oil 5762 (-3.26%) Natural gas 247.80(+10.23%)
Major Economic Data and Event released yesterday
· CPI inflation rose 0.3% year-on-year in October, in line with expectations, but slowing from the 0.4% increase seen in September. CPI shrank 0.3% on a monthly basis, data released over the weekend showed.
Major Economic Data and Event scheduled today – UK Jobs report, India CPI
Japan
At 5.00am-
M2 Money Stock y/y. Data is foreseen at 1.5% from previous 1.3%
Above data could have a neutral impact on the Yen.
Eurozone
At 12.30pm- German Final CPI m/m. Data is foreseen at 0.4% from previous 0.4%.
At 3.30pm-
German ZEW Economic Sentiment. Data is foreseen at 13.2 from previous 13.1.
ZEW Economic Sentiment. Data is foreseen at 20.5 from previous 20.10.
Above data could have a mixed impact on the Euro.
UK
At12.30pm-
Claimant Count Change. Data is foreseen at 30.5k from previous 27.9k.
Average Earnings Index 3m/y. Data is foreseen at 3.9% from previous 3.8%.
Unemployment Rate (Jobs) . Data is foreseen at 4.1% from previous 4%.
Above event could have a mixed impact on the Pound.
Canada
At 7.00pm- Building Permits m/m. Data is foreseen at -1.1% from previous -7.0%.
Above data could have a mixed impact on the Canadian dollar.
US
At 4.30pm- NFIB Small Business Index. Data is foreseen at 91.9 from previous 91.5.
At 8.30pm- FOMC Member Waller Speaks.
Tentative – RCM/TIPP Economic Optimism. Data is foreseen at 47.3 from previous 46.9.
At 8.45pm- FOMC Member Barkin Speaks.
Above data could have a volatile impact on the dollar.
Until then, Happy Trading!
Commodity Samachar Securities
We Decode the Language of the Markets
Also Read: Will Silver price find support after last week’s 4% plunge? , Markets Watch CPI as Trump’s Election Win Shakes Things Up
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