Market News

Gold prices steadied on Thursday to trade nearly flat after rising nearly 1 percent in the previous session as the dollar extended its swoon amid reduced expectations for U.S. interest rate hikes next year.

The euro rose for a third consecutive day on Thursday after breaking through a key technical level when a flurry of European business surveys pointed to a strengthening growth outlook for the region.

The Canadian dollar weakened against its U.S. counterpart on Thursday, pulling back from an earlier 10-day high, after domestic data showed retail sales rose far less than expected in September.

Germany’s Social Democrats (SPD) should reconsider their opposition to joining a new “grand coalition” with Angela Merkel’s conservatives because Europe needs a stable government in Berlin, a senior ally of the chancellor said on Thursday.

British Prime Minister Theresa May will meet European Commission President Jean-Claude Juncker and his chief Brexit negotiator in Brussels on Monday, Dec. 4, the EU executive confirmed on Thursday.

Today’s morning London session was steady for the most part, but that doesn’t mean that the session was a complete snooze fest since both the AUD and NZD were grinding higher against their peers, likely because of the risk-on vibes.

Oil slipped on Thursday on concerns that rising U.S. output would hamper OPEC’s attempts to tighten supplies, outweighing worries about the shutdown of a major U.S. pipeline.

The dollar nursed losses on Thursday after posting its biggest loss in five months in the previous session as investors dialed down expectations on the outlook for U.S. interest rate hikes next year based on minutes from the Federal Reserve’s latest policy meeting.

Economic growth and corporate earnings look solid, unemployment is the lowest in decades and there’s no inflation to speak of, so the U.S. economy and world markets can take two or three more U.S. rate hikes in their stride, right?

Ho-hum. Forex price action was as exciting as watching turkey get cooked thanks to a lack of fresh catalyst and traders going out for a holiday.

OPEC will need to extend supply cuts when it meets next week to end years of global oil oversupply, oil ministers from two OPEC members said on Wednesday.

When Theresa May visits Brussels on Friday, EU negotiators will be listening intently for signs the British prime minister is preparing to risk a domestic backlash and raise her offer to secure a Brexit deal in December.

The dollar was on the defensive Thursday after suffering its worst drubbing in five months while bonds celebrated a comeback on speculation the Federal Reserve might not tighten U.S. policy as aggressively as previously thought.

The dollar closed another day in the red as traders warmed up to the idea that the Fed might not be as aggressive with tightening in the year ahead. 

The dollar fell on Wednesday, touching its lowest level in more than a month against the Japanese yen and the Swiss franc after the release of weaker-than-expected U.S. data and inflation expectations.

Britain slashed its economic growth forecasts and expects to borrow a lot more going into the next decade, finance minister Philip Hammond said, but he nonetheless plans to spend more in the next couple of years to offset the impact of Brexit.

New orders for key U.S.-made capital goods unexpectedly fell in October after three straight months of hefty gains, but a sustained increase in shipments pointed to robust business investment and economic momentum as the year winds down.

Not much in terms of direction today, but CAD was as an exception since it was higher against its peers. GBP, meanwhile, was steady for the most part but got whupped near the end, apparently as a reaction to the OBR’s downgraded growth forecasts.

The European Central Bank will reaffirm its policy stance at its December meeting, and rate-setters hope to put off debate on new moves until well into next year, five sources with direct knowledge of the discussion told Reuters.

Oil prices spiked on Wednesday with U.S. light crude hitting highs not seen since July 2015 after faults on a major pipeline dented Canadian deliveries to the United States, where crude inventories were also reported to be falling.