Pre Loader

16.11.2023 Market Report


EUR/USD is trading on the back foot below 1.0850 in early European trading on Thursday. Markets remain risk-averse, assessing the Fed interest rate expectations, helping the safe-haven US Dollar stay afloat. However, the downside appears limited amid falling US Treasury bond yields. ECB- and Fed-speak is in focus. 


GBP/USD is trading back below 1.2400, extending losses in the European session on Thursday. The pair is feeling the pull of gravity amid a steady recovery in the US Dollar and a risk-off market mood. In the absence of top-tier UK economic data, the pair will take cues from the broad market sentiment and Fedspeak. 


The US Dollar (USD) looks to build on the overnight recovery move from its lowest since September 1 amid the uncertainty over the Federal Reserve’s (Fed) next policy move, which, in turn, should act as a tailwind for the USD/JPY pair. The softer US CPI report released on Tuesday showed that consumer inflation was cooling faster than anticipated and reaffirmed expectations that the Fed is done raising interest rates. That said, the pace of inflation remains well above the 2% target and keeps hopes alive that the US central bank will stick to its hawkish stance.


The AUD/USD pair trades sideways during the early Asian session on Thursday. Market players await the Australian Employment data for fresh impetus, which is expected to add 20,000 jobs in October. The pair reached 0.6542 before edging lower to 0.6509, adding 0.04% on the day. 


NZD/USD aims to retrace the recent gains, trading near 0.5980 during the Asian hours on Thursday. However, the New Zealand Dollar (NZD) received upward support from China’s economic data, which improved the trade outlook in the country.


USD/CAD recovers recent losses registered in the previous two sessions, trading higher near 1.3700 during the Asian session Thursday. The USD/CAD pair receives upward support, propelled by the strengthened US Dollar (USD), which could be attributed to possible risk-off sentiment. Additionally, the decline in Crude Oil prices contributes to this movement, especially considering Canada’s status as the largest oil exporter to the United States (US).


USD/CHF attempts to rebound from the two-month lows, halting a four-day losing streak. The pair trades slightly higher around 0.8890 during the Asian session on Thursday.

The US Dollar Index (DXY) showed improvement after the release of economic data from the United States on Wednesday. The US Retail Sales eased at 0.1% in October, contrary to expectations of a steeper slide of 0.3%. However, the unexpected decline in the US Producer Price Index (PPI) by 0.5%, compared to the anticipated 0.1% increase, and the drop in the annual PPI from 2.2% to 1.3%.


Oil prices fell on Thursday, extending losses from the previous session, as signals of higher supply from the United States met worries about lackluster energy demand from China.


Gold attracts some dip-buying during the Asian session on Thursday and seems to have stalled its retracement slide from over a one-week high, around the $1,975-1.976 area touched the previous day. 

Any information provided therein are indicative and subjective to the technical analysis method or trading patterns used and the timing of their release. Those are provided as general market information and/or market commentary and/or the publication of market/factual data and should not be construed as containing personal and/or other investment recommendation, and/or to be Investment Advice or independent Investment Research. As such, the legal and regulatory requirements in relation to independent investment research do not apply to this material and it is not subject to any prohibition on dealing ahead of its dissemination. For the full Risk Disclaimer click here.