Daily thread to exchange ideas and to share your thoughts
Good day, everyone! Hope you're all doing well as we get things going in the session ahead. It's been a modest start to the day as markets continue to keep more tepid as we approach the holiday season next week.
The aussie is the notable mover after a better-than-expected jobs report earlier, though there are some less rosy details if you really want to look at it. I still think it doesn't change anything in the big picture and that the RBA may still have to cut rates in February.
The kiwi also got some good news from more solid Q3 GDP data but this just reaffirms that the RBNZ isn't quite nearly as pressured to cut rates any time in the near future.
Meanwhile, the pound stays more subdued with cable resting under 1.31 but perhaps price action may be hinting at a near-term bottom for now. But with thinner liquidity conditions set to prevail in year-end trading, we'll have to wait and see for a clearer picture.
Otherwise, markets in general is just sleep-walking into the new year with US equities continuing to look caught up in limbo over the past few days. Bonds are also trading more choppily and so far, there is no hint of a clear trend trade for risk in that regard.
What are your views on the market right now? Share your thoughts/ideas with the ForexLive community here.
