EURUSD runs into the 100 hour MA (and other targets) on the downside
The EURUSD is lower on the day but is running into a "cluster of support" defined by the (see yellow area):
Canada October CPI +1.9% vs +1.9% y/y expected
- Median 2.2% vs 2.2% exp (prior 2.2%, revised to 2.1%)
- Common 1.9% vs 1.9% exp (prior 1.9%)
- Trim 2.1% vs 2.1% exp (prior 2.1%)
Bang in-line across the board.
The JPY is the strongest and the CAD is the weakest as NA traders enter
The JPY is the strongest of the major currency while the CAD is the weakest. BOC Wilkins was more dovish in her comments yesterday and that trend for a lower CAD, has continued in trading today.
Canada CPI, oil inventories and the FOMC minutes are on the agenda
The Bank of Canada is one of the most-intriguing central banks at the moment as we count down to the December 4 meeting. The OIS market is pricing in a 28% chance of a rate cut, rising to 50% in January.
ECB's de Guindos: Side effects of monetary policy becoming more evident
- QE program won't hit limit in the short-term
Again, he's out with a similar comment on the side effects of negative rates. As noted earlier, they have become more acknowledging of that matter though they maintain that they can cut rates further if need be.
US futures pare some losses ahead of the open later
E-minis have pared about half their losses as we look towards the start of US trading. The overall risk mood remains more defensive and sour but all it takes is just one right headline and markets can easily switch things around.
US MBA mortgage applications w.e. 15 November -2.2% vs +9.6% prior
- Purchase index 270.4 vs 253.4 prior
- Market index 556.0 vs 568.4 prior
ForexLive European FX news wrap: Havens thrive on US-China trade worries
- JPY leads, CAD lags on the day
- European equities lower; E-minis down 0.4%
Novak: Russia aims to reduce oil output to OPEC+ target in November
Oil is keeping more steady on the day despite the more sour risk mood but the damage was already done yesterday as key levels are taken out:
ECB's Makhlouf says seeing protracted weakness in the Eurozone
- Macroeconomic outlook is 'mixed'
- Endorses call for review of monetary policy strategy