Welcome to our daily market update. If you have any questions or would like anything further explained, please don’t hesitate to reach out to your account manager or email info@cafx.com
USD: Mixed Wall St. Performance; AUD Holds Steady Near 0.6550
Wall Street had a soft session overnight, with the Nasdaq down 1.6%, the S&P 500 -0.7%, and the Dow Jones -0.3%. U.S. 10-year yields rose slightly to 4.09%, while Brent Crude was flat at $64.90/bbl. The AUD/USD traded between 0.6533–0.65975, settling near 0.6550/55 ahead of the Asian open.
Asian equities finished broadly lower: Hang Seng -0.6%, Shenzhen -0.8%, and Nikkei flat as the BOJ held. The ASX 200 closed -0.5% as consumer discretionary stocks fell 4.2%, dragging the index.
AUD/USD was bid from open, reaching 0.6593, before dipping to 0.6577 following limited comments post the Trump–Xi meeting, then rose to 0.66 highs after Trump described the meeting as “amazing.”
European data showed German and Eurozone unemployment unchanged at 6.3%, German Q3 GDP steady at 0.0% q/q, and Eurozone Q3 GDP beating slightly at 0.2% vs. 0.1% expected.
European equities closed mostly lower: FTSE -0.5%, CAC -0.5%, while Euro held near 1.1620 and Sterling dipped to 1.1385. Gold gained 1.7% to $4000/oz, and Brent slipped 0.5% to $64.6/bbl.
The USD rallied across majors through the NY morning with AUD/USD dropping to 0.6533 lows, NZD/USD to 0.5727, EUR/USD to 1.1547, GBP/USD to 1.3117, USD/CAD up to 1.40145, and USD/JPY to 154.45.
German CPI (Oct) printed at +0.3% MoM, +2.3% YoY, both 0.1% higher than expected — little market reaction as the USD stayed firm.
The ECB left rates unchanged, reiterating a data-dependent, meeting-by-meeting approach. Lagarde’s comments were slightly hawkish, mentioning the potential for a digital euro.
EUR/USD recovered modestly off lows as the USD pared gains. AUD/USD rebounded above 0.6550 by the NY morning.
Late trade saw Wall Street mixed: Dow Jones +0.4%, S&P 500 -0.4%, and Nasdaq -1.0%. European markets pared losses but remained weaker, with CAC -0.5%, FTSE and DAX flat.
The NY afternoon was quiet, with majors range-bound ahead of the Sydney open, AUD/USD steady just above 0.6550.
Wall Street ended quietly: Nasdaq -1.2%, S&P 500 -0.7%, and Dow Jones unchanged.
Key Economic Data Ahead (Sydney Time)
General Market
|
Disclaimer:
The market update provided by Corporate Alliance FX (CAFX) is for reference only and does not constitute a bid, levy, offer or invitation to offer for the financial product, the basis for any contract or commitment, a recommendation for the purchase or sale of any investment instruments, financial, legal, tax, investment advice, investment advice or other opinions. It will not be legally liable for any consequences or losses caused by the information or content involved.
Corporate Alliance Group Pty Ltd T/A Corporate Alliance FX (CAFX) (ABN 58 167 119 226, AFSL 523351) (i.e. CAFX), CAFX independently holds the Australian Financial Services licence no. 523351 (AFSL), so CAFX is regulated by the Australian Securities and Investment Commission (ASIC) and, and although ASIC is a strictly regulatory body, it does not endorse a specific financial product. ASIC’s regulation of CAFX applies to all services under the financial licence held by CAFX, including the issuance of foreign exchange settlement, foreign exchange payments, foreign exchange risk control, hedging, market making and providing financial advice.3
