On Thursday, the Greenback edged lower to a two-month low vs. its major peers, having declined after the minutes of the Federal Reserve's latest meeting showed some policymakers were concerned about continuing low inflation in a blow to rate hawks. Meanwhile, the minutes of the Fed's Oct.31-Nov.1 policy meeting showed that Fed policymakers expect that interest rates will have to be hiked in the "near term", reinforcing market anticipations that the Fed will hike interest rates before the end of the year.
Against the Euro, the Greenback fell as much as 0.19%, to settle at $1.1844.
The Sterling pound declined vs. the U.S. dollar, with GBP/USD easing 0.18% to 1.3299, off the one-and-a-half month high of 1.3337 hit overnight. On the release front, traders are awaiting the UK Gross Domestic Product (GDP), is anticipated to confirm the UK economy grew at 0.4% in the last three months.
The JPY fell as much as 0.04% vs. the USD with USD/JPY at ¥111.26.
Gold prices declined due to the U.S. Thanksgiving holiday, but losses were limited on speculation the Federal Reserve could not tighten U.S. policy as widely expected. Gold Futures - Dec 17 (GCZ7), fell as much as -0.20% at $1,289.66.
Oil prices edged lower, with U.S. crude falling away from two-year highs reached a day ago, but the shutdown of the Keystone pipeline and a drawdown in fuel stockpiles continued to support markets despite concerns over rising output. On the release front, U.S. crude inventories declined 1.9 million barrels in the week to Nov. 17, to 457.14 million barrels.
Crude Oil WTI Futures - Jan 18 (CLF8) fell as much as 0.24% at $57.88 and Brent Oil Futures - Jan 18 (LCOF8) was down by 0.35% at $57.88.
The most important economic events:
The prices and news mentioned in this outlook are absolutely no guarantee of future market performance and do not represent the view of ICM Capital Limited. Financial markets can move in either direction causing profits to be made or complete losses to be incurred by the trader. Each trader must decide for themselves what their risk appetite is and ensure that correct risk management procedures are in place before placing any trades.