Market Brief
The U.S Thanksgiving holiday left markets dormant yesterday as traders around the world were happy to bask in the light of optimism and heed the much needed respite. While the encouraging but sceptically convincing stock market gains of this past week boost risk appetite around the world one can’t help but wonder how long this will last. Currency Markets continued to be volatile this morning – volumes remain low. The EURUSD traded a 60pip range yesterday, rising in early morning trading to default near 1.2960 and drop again – a level tested several times yesterday. The USDJPY saw it’s large moves of late reduced to a range between 95.00 and 95.60 as a lack of data from the U.S failed to spur moves we have become all to accustomed with. Today will continue to be slow as it is a half-day in the U.S and no economic data is out.
Japanese Industrial production fell by 3.1% m/m, weaker than a consensus of 2.5% m/m. This news was hardly offset by thee news that Japanese unemployment fell to 3.7% in October while markets expected 4.2%. This mixed yet somewhat negative data further accentuates the haemorrhage the Nippon economy is suffering – deepening recession. Despite this the Nikkei 225 rose 0.7%, while the more complete Topix fell 0.3% to 831.27.
Despite the notable political and social unrest in the region stocks were mainly up across the board - The hostage situation in Mumbai India, political debacle and crisis in Thailand failing to infect the large financial hubs of the Asian region. The Aussie currency continues to show signs of sustainable strength – rising 8% from a low not seen since 2003 (near the 0.60 level) – now trading in the 0.685 area. Both the NZD and AUD have taken well to the recent rekindling with optimism in global financial markets, seeing new-found health in the housing sector – the root of the current global crisis.
| Global indexes | Current level | % Change |
| Nikkei 225 Index | 8512.27 | 1.66 |
| Hang Seng Index | 13888.24 | 2.48 |
| Shanghai Index | 1871.15 | -2.44 |
| FTSE futures | 4258.5 | 0.17 |
| DAX futures | 4699 | 0.37 |
| DJIA futures | 8748 | 0.58 |
| Nasdaq futures | 1196.75 | 0.19 |
| World markets | Current level | % Change |
| Gold | 814.18 | -0.2 |
| Silver | 10.28 | -0.77 |
| VIX | 54.92 | -9.82 |
| Crude wti | 53.41 | -1.89 |
| USD Index | 85.388 | -0.16 |
| Todays calender | Estimates | Previous | Country / GMT |
| EUR ZONE - CPI | 2.70% | 3.20% | EUR / 10:00 |
| EUR ZONE - Unemployment | 7.60% | 7.50% | EUR / 10:00 |
| Swiss Leading Indicator - KOF | 0.2 | 0.35 | CHF / 10:30 |
Currency Tech
AUDUSD
R 3: 0.6758
R 2: 0.6696
R 1: 0.6618
CURRENT: 0.6585
S 1: 0.6333
S 2: 0.6232
S 3: 0.6076
EURJPY
R 3: 131.04
R 2: 128.43
R 1: 126.21
CURRENT: 123.05
S 1: 122.07
S 2: 119.54
S 3: 116.44
USDSGD
R 3: 1.5436
R 2: 1.5345
R 1: 1.5191
CURRENT: 1.5070
S 1: 1.5055
S 2: 1.4965
S 3: 1.4875
- S: Strong, M: Minor, T: Trendline, K: Keylevel, P: Pivot
