Forexlive European FX News 8 Nov: Risk sentiment sours as trade optimism is questioned
European Trading news
- China's global Times editor Hu Xijin criticises recent Pompeo comments
- The GBPUSD still to be bid medium term on Tory poll lead
- US Secretary of State Pompeo speaking in Berlin
- CAD: Looking ahead to employment data at 13:30GMT
- RBNZ to meet next week: 64.3% chance of a cut
- Morning FX trading: Back to the waiting game
- European cash open: risk tilts down following Asia's lead
- Germany September trade balance EUR +21.1bln vs +19.5bln exp
- GBPUSD in focus: Option levels in play
- CHF the strongest and AUD the weakest
- Dax: -0.14%
- UK FTSE: -0.37%
- Euro Stoxx: -0.16%
- Gold: -0.76%
- US oil:-1.66%
- Strongest USD, weakest NZD
It has been a pleasure covering the site for my last day today of this latest stretch. Justin will be back in the saddle next week after his will earned break.
The session was a slow one as the market pared back on some recent optimism. The European bourses traded cautiously opening and remaining in the red for the am session. The DXY traded strongly, above 98.00, on USD safe haven bids and is at 98.30 presently.
The optimism from the news that China's Commerce ministry and the US were prepared to roll back tariffs was scaled back when it emerged that there was fierce internal opposition from the US regarding tariff rollbacks
The GBPUSD traded lower and hit the 1.2800 handle, but was supported on a test as the option level provided some short term support. That level is also the low of the dovish twist from the BoE yesterday, so some profit taking may well be in the mix too.
These negative risk off tones flowed through the morning session with the next event now being the widely anticipated Canadian employment data. See here for my playbook for the event.
Have a great weekend one and all. I'll be flying to Malaysia, so I might get a chance to drop in and see Justin if there is time.