Forex Today: Boris gets a blow from big poll, tariff threat looms, focus on the Fed


Here is what you need to know on Wednesday, December 11:

UK Elections: YouGov's second broad MRP survey has shown a significant narrowing of the gap in favor of the Conservatives – to 28 against 68 two weeks ago – with the polling firm noting that a hung parliament has a real chance. GBP/USD has fallen off the highs, 24 hours before voting begins. Investors would prefer a solid Tory victory. Gross Domestic Product disappointed by remaining flat in October. 

Trade war: President Donald Trump has yet to decide on the December 15 tariffs, according to the Wall Street Journal. On the other hand, the paper says that negotiators are laying the groundwork for a deal. Peter Navarro, a hawkish White House adviser, says he has no indication the levies will be postponed. The safe-haven yen and Gold have yet to react.

The Federal Reserve is set to leave interest rates unchanged in its last decision of the year and hint about policy in 2020 via its dot-plot and a press conference held by Chairman Jerome Powell. Most analysts expect only minor changes to the statement. 

See

US data: Unit Third-quarter Labor Costs have been significantly revised lower to 2.5% annualized. Ahead of the Fed, the Consumer Price Index is set to move the US dollar (see preview). Yearly Core CPI is set to remain unchanged at 2.3% in November.

EUR/USD has been edging higher amid upbeat German ZEW Economic Sentiment. Markets are awaiting the European Central Bank decision on Thursday., the first one by Christine Lagarde (see preview

USMCA: US Democrats and Republicans have reached an agreement with Canada and Mexico on a revised version of the USMCA – the trade agreement that replaces the generation-old NAFTA. The deal was priced in and the images of the signing ceremony in Mexico have failed to boost the Canadian dollar and Mexican peso

Emerging economies: The South African rand has come under pressure amid fears of a recession and rolling blackouts. Alberto Fernandez, Argentina's new president, said that his country wants to pay its debts, but cannot.

Cryptocurrencies have been on the back foot, with Bitcoin battling the $7,200 level. 

 

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.

Feed news

Latest Forex News


Latest Forex News

Editors’ Picks

EUR/USD quickly approaching September low

The EUR/USD pair extended its slump towards 1.1760 after ECB’s Lagarde said the economic recovery in the EU is “very uncertain, uneven and incomplete.” Next relevant support at 1.1736, this month low.

EUR/USD News

GBP/USD consolidates losses around 1.2840

The Pound plunged on risk-aversion and PM Johnson acknowledging the kingdom is undergoing a second coronavirus wave. Health authorities mull further restrictions.

GBP/USD News

XAU/USD dives to sub-$1900 levels, six-week lows

Gold extended last week's rejection slide from a short-term descending trend-line resistance and tumbled to six-week lows during the early North American session.

Gold News

Bitcoin gets back in the game

Bitcoin is on its third positive consecutive session in a row on the dominance chart and points to strong market share increases. Crypto market raises doubts on price development in the short term.

Read more

WTI plummets to $39, down more than 4%

Crude oil prices closed the previous week sharply higher but erased a large portion of those gains on Monday. As of writing, the barrel of West Texas Intermediate was down 4.2%, the biggest daily percentage decline in nearly two weeks, at $39.15.

Oil News

Forex MAJORS

Cryptocurrencies

Signatures