On Monday, the Greenback fell to a two-month low vs. the Euro, negatively affected by strong German business confidence. The German business confidence index compiled by the Ifo economic institute unexpectedly advanced to a record high level of 117.5 in November, in another sign of strong growth in the euro zone's largest economy. The U.S. new home sales data for October, due to release later in the day
The single currency rose as much as 0.06% vs. the Greenback, with EUR/USD at $1.1939. The EUR got further support, on the back of news that Germany’s Social Democrats’ agreed to hold talks with Chancellor Angela Merkel in a bid to form a new coalition government. On the release front, traders are awaiting Italy’s consumer confidence index for November.
The Sterling pound rose inched up by 0.11% vs. the Greenback, to settle at $1.3347, not far from Friday’s two-month highs of 1.3358.
The JOY traded high against the USD with USD/JPY at ¥111.28, down by 0.22%.
Gold prices edged high as the U.S. dollar settled close to a two-month low touched in the previous session, with traders noting the US Federal Reserve’s cautious view of inflation. Gold Futures - Dec 17 (GCZ7) rose by 0.31%, to settle at $1,291.28.
Oil prices declined, with U.S. crude easing from two-year highs on the prospect of increased output; although global markets were little better backed by anticipations an OPEC-led production cut would be extended into 2018.
Crude Oil WTI Futures - Jan 18 (CLF8) fell as much as 0.87% at $58.44 and Brent Oil Futures - Jan 18 (LCOF8) was up by 0.28 % at $63.65
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.