Good morning all,
Yesterday we got to know quite strong US economic data. Indeed, US GDP y/y and durable goods orders were better than expected. However, the market gave a muted response. All benchmark US indices traded higher (from the +0.15% to the +0.66% of DJ Industrial and Nasdaq respectively) while the Volatility Index (VIX) was pricing shy of 14 points the 1 year expected 1 std.
Some Major FX crosses price action was subued as well: EUR/USD got stuckall day in a 30-pips range, while AUD/USD was trapped in a 18-pips range. GBP/USD was an exception, moving almost 90 pips from lows to highs and gaining 0.49% on the day.
Today and tomorrow, we will have quite a good bunch of economic data in Europe, while US is celebrating Thanksgiving Day; Switzerland just released its GDP, surprising to the upside: don't miss USD/CHF or EUR/CHF today. Next in the morning (08am - 10am GMT), we are gonna have:
- EU M3 money supply3.5% exp
- EU services, consumer, industrial confidence
- EU economic sentiment indicator 101 exp (prev 100.8)
- EU business climate-0.14 exp (prev -0.19)
- GE CPI 1.3% exp (prev 1.1%)
- ES CPI and retail sales
Tonight, Japan is due to release its unemployment rate, industrial production and CPI data (watch out USD/JPY).
- UK General Election Poll showed Conservatives are set for a 68-seat majority with the party on track to win 359 (+42) seats
-Asian markets traded mostly lower as the positivity from another record-setting session on Wall St heading into Thanksgiving Day, quickly faded.
Concerning US-China trade deal:
- US President Trump signed the Hong Kong HR bills into law despite Beijing's objections, according to the White House
- China Foreign Ministry reiterated it strongly opposes the US bill on Hong Kong and that the bill severely meddles in China's internal affairs