Pre Loader

29.12.2023 Market Report


EUR/USD is paring back gains toward 1.1050 in the late Asian session on the final trading day of 2023. The US Dollar resumes its downside amid cautious trading, as traders refrain from placing fresh bets on the major, in anticipation of the end-of-the-year flows induced volatility. 


The GBP/USD pair trades slightly higher around 1.2740 during the Asian hours on Friday. The US Dollar attempted to halt its losing streak before the end of the year 2023, but it appears to be struggling to stay in positive territory. 


The USD/JPY pair bounces off its lowest level since July of 140.23 and then rebounds to 141.65 during the early Asian session on Friday. The recovery of the US Dollar (USD) and higher US Treasury yields lift the USD/JPY pair. The economic calendar is light amid the thin trading volume on the last trading day of 2023.


The AUD/USD pair loses its recovery momentum during the early Asian session on Friday. The US Dollar (USD) bounces off the lowest level since July near 100.85 and then recovers to 101.25. The market is likely to be quiet on the last trading day of 2023 due to the light economy data and the holiday mode. AUD/USD currently trades around 0.6830, down 0.02% on the day.


NZD/USD posts gains after registering losses in Thursday’s session, trading higher around 0.6340 during the Asian session on Friday. The New Zealand Dollar (NZD) demonstrates strength as the Reserve Bank of New Zealand (RBNZ) is expected to potentially delay policy easing. This sentiment is reinforced by the releases of improved Consumer Confidence and Business Confidence data for November.


The USD/CAD pair recovers some lost ground during the Asian session on Friday. The rebound of the pair is supported by the modest gains of the US dollar (USD) and a decline in oil prices.


The impact on the Dollar of the higher than expected US Jobless Claims in the US has been muted, as the pair remains consolidating losses near eight-yers lows, at 0.8335. First-time claims for unemployment benefits increased by 218K in the US on the week of December, 15. This reading beats the market consensus of 110K and is significantly higher than the 206K upward revised level seen in the previous week.


Oil prices fell 3% on Thursday as more shipping companies said they were ready to transit the Red Sea route, easing concerns about supply disruptions as Middle Eastern tensions stay elevated.


Gold is finding demand in the Asian session on the final trading day of the year, in the wake of a cautiously optimistic market mood and renewed US Dollar weakness. Investors brace for the end-of-the-year flows and refrain from placing any fresh directional bets on the XAU/USD price, leaving the bright metal in a phase of upside consolidation at around $2,070.

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.