Global Markets:
- Asian stock markets: Nikkei up 0.06 %, Shanghai Composite rose by 0.24 %, Hang Seng fell 0.50 %, ASX 200 down 0.10 %
- Commodities: Gold at $1270.29 (0.07 %), Silver at $16.86 (0.14 %), WTI Oil at $55.78 (0.23 %), Brent Oil at $62.32 (0.40 %)
- Rates: US 10-year yield at 2.33, UK 10-year yield at 1.26, German 10-year yield at 0.36
News & Data:
- (NZD) Inflation Expectations q/q 2.0 % vs 2.1 % previous
- (USD) ISM Non-Manufacturing PMI 60.1 vs 58.8 expected
- (USD) Average Hourly Earnings m/m 0.0 % vs 0.2 % expected
- (USD) Non-Farm Employment Change 261 K vs 312 K expected
- (USD) Unemployment Rate 6.3 % vs 6.2 % expected
- (CAD) Employment Change 35.3 vs 15.3 K expected
- (CAD) Trade Balance -3.2 B vs -3.0 B expected
- (CAD) Unemployment Rate 6.3 % vs 6.2 % expected
- (GBP) Services PMI 55.6 vs 53.3 expected
- Oil hits highest levels since 2015 amid tightening markets, Saudi purge- RTRS
CFTC Positioning Data:
- EUR long 72K vs 84K long last week. Longs trimmed by 12K.
- GBP long 1K vs 1K short last week. Position shifts to small long from small short last week.
- JPY short 119K vs 116K short last week. Shorts increased by 3K
- CHF short 21K vs 12K short last week. Shorts increased by 9K
- CAD long 58K vs 72K long last week. Longs trimmed by 14K.
- AUD long 52k vs 57K long last week. Longs trimmed by 5K
- NZD short 6K vs 1K long last week. Position shifted to short.
Markets Update:
Asia-Pacific equity markets edged down early on Monday despite record gains on Wall Street last Friday as China’s central bank chief warned again about excessive leverage. Investors also digested earnings reports and remained cautious as US President Donald Trump's tour of the region got underway.
USDJPY is currently seen trading at 114.30 as the Yen lost 0.2 percent against the US Dollar, continuing its earlier decline of 0.5 percent when The dollar rose as high as 114.735 yen, climbing to its highest levels since mid-March. Japan's Nikkei 225 slid 0.11 percent as markets re-opened for trade after a long weekend, currently the Nikkei gained some ground and is up 0.05%.
EURUSD was steady earlier in the Asian Session trading in a tight range around 1.1610. The Dollar is currently near three-month highs, underpinned by Fed tightening view. The dollar index, which tracks the dollar against a basket of currencies was flat and is currently valued at 94.94. The yield on 10-year Treasuries was up about one basis point to 2.34 percent. It fell more than seven basis points last week.
AUDUSD opened on a slightly positive note currently seen trading above 0.7650 benefiting from a better tone in Chinese commodity markets. Australian 10-year yields were steady at 2.57 percent. On the other hand, the New Zealand dollar was slightly weaker trading around 0.6890 down from session highs of 0.6915 against the US Dollar.
Upcoming Events:
- All Day – (EUR) Eurogroup Meetings
- 09:00 GMT – (EUR) Final Services PMI
- 10:00 GMT – (EUR) PPI m/m
- 15:00 GMT – (CAD) Ivey PMI
- 17:10 GMT – (USD) FOMC Member Dudley Speaks
The Week Ahead:
Tuesday, November 7th
- All Day – (EUR) ECOFIN Meetings
- Tentative – (NZD) GDT Price Index
- 03:30 GMT – (AUD) RBA Rate Statement
- 03:30 GMT – (AUD) Cash Rate
- 08:30 GMT – (GBP) Halifax HPI m/m
- 09:00 GMT – (EUR) ECB President Draghi Speaks
- 17:35 GMT – (USD) FOMC Member Quarles Speaks
- 17:35 GMT – (CAD) BOC Gov Poloz Speaks
- 17:35 GMT – (USD) Fed Chair Yellen Speaks
Wednesday, November 8th
- Tentative – (CNY) Trade Balance
- 13:30 GMT – (CAD) Building Permits m/m
- 15:30 GMT – (USD) Crude Oil Inventories
- 20:00 GMT – (NZD) RBNZ Rate Statement
- 20:00 GMT – (NZD) Official Cash Rate
- 20:00 GMT – (NZD) RBNZ Monetary Policy Statement
- 20:00 GMT – (NZD) RBNZ Press Conference
Thursday, November 9th
- 01:30 GMT – (CNY) CPI y/y
- 01:30 GMT – (CNY) PPI y/y
- 10:00 GMT – (EUR) EU Economic Forecasts
- 13:30 GMT – (CAD) NHPI m/m
- 13:30 GMT – (USD) Unemployment Claims
- 16:30 GMT – (CHF) SNB Chairman Jordan Speaks
Friday, November 10th
- All Day – (USD) Bank Holiday
- 00:30 GMT – (AUD) RBA Monetary Policy Statement
- 09:30 GMT – (GBP) Manufacturing Production m/m
- 09:30 GMT – (GBP) Goods Trade Balance
- 15:00 GMT – (USD) Prelim UoM Consumer Sentiment
