USD is strengthening against most major competitors except AUD. As there is a lack of important macroeconomic releases in the United States of America, the movement of the course is primarily technical.
The EUR/USD pair remains under pressure from the situation with the budget of Italy for the next year. The Italian authorities do not want to agree with the project recommended by the European Commission, as they consider it extremely harmful to the country's economy. European Commission, in turn, reserves the right to impose economic sanctions against Italy. As for the macroeconomic releases that can affect the instrument today, it is worth noting German and EU ZEW Economic Sentiment releases. It is predicted that the indicators will continue to decline: for Germany – by 24.2 points, and for EU – by 17.3 points. The implementation of the forecast may affect EUR negatively.
During the Asian session, the GBP/USD pair fell to the level of 1.2878. GBP is under pressure of new difficulties upon Brexit. Recently, Brussels rejected Teresa May’s key proposal, while criticism of British Prime Minister’s initiatives within the British government and parliament has increased. Today, investors will pay attention to the publication of data on the labor market in the UK. It is predicted that in September the Unemployment Rate will remain the same – 4.0%, and Average Earnings Index +Bonus will increase from 2.7% to 3.0%. The implementation of the forecasts can support GBP.
During the Asian session, the USD/JPY pair returned to the area of 113.96. As there is a lack of important releases from Japan and the United States of America, the movement of the instrument is of a technical nature.
During the Asian session, the AUD/USD pair rose above the level of 0.7200 due to today’s Australian statistics. In October, NAB Business Confidence index reached 4 points against 6 points a month earlier. Technical factors contribute to the growth of the instrument: yesterday’s significant decrease provided attractive conditions for the closing of profitable short positions.
Dynamics of gold remains moderately downwards. During the Asian session, the instrument dropped to 1203.00.
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