Yesterday was Veterans Day in the US market with few market participants. US stocks were mixed, with DJIA almost flat and Nasdaq rebounding for the first time in three days. While profit-taking sales strengthened for business cycle stocks, which had risen sharply against the backdrop of vaccine expectations, IT and high-tech stocks, which had fallen sharply at the moment, were repurchased.
The foreign exchange market continues to dominate this week’s USD buying. USDJPY has remained in a narrow range of 105 zone and finished at 105.40.
EURUSD fell from 1.182 to 1.17 zone in the London market, and the ECB’s Governor Knock said, “ECB will not rule out any policy in the December decision,” expecting additional easing at the ECB board in December. Ms. Lagarde, who attended the ECB Forum, also mentioned the expansion of PEPP and TLTRO. EUR was sold along with GBP, as MPC Commissioner Tenreiro said, “The UK-EU trade agreement may not be in time for the deadline of November 15.” EURUSD has closed the US market near 1.178, on a daily 20-day moving average.
GBP fell sharply from 1.3310 to 1.3191 in the London market due to the Tenreiro statement above. After that, the US market ended around 1.322.
Yesterday’s currency strength
US market yesterday
DJIA: 29,397.63 (-23.29, -0.08%)
NASDAQ: 11,786.43 (+232.57, +2.01%)
S&P 500: 3,572.66 (+27.13, +0.77%)
GOLD: 1,867.1 (+5.5)
OIL: 41.75 (+0.3)
US 10-YR: 0.939 (-0.05)
VIX: 23.45 (-1.35)
Asian market today
Nikkei: 25,459~ (+109)
CME Dow future: 29,232~（-165 Dow）
Economic indicators today
GMT 07:00 (UK) GDP
GMT 13:30 (US) New Jobless Claim