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Forex Today: King Dollar returns

Here is what you need to know Wednesday, November 6th:

  • Mounting hopes that the US and China will reach a trade agreement underpinned the greenback, later boosted by an upbeat ISM Non-Manufacturing Index. The American currency gained against all of its major rivals. The EUR/USD pair fell to the 1.1060 price zone, its lowest in three weeks.
  • EU’s Chief Negotiator Barnier was on the wires, repeating familiar words over the matter. Among other things, he remarked that, even if the deal is ratified, a new partnership would be needed with the UK, adding that negotiations will be ‘difficult.’
  • The GBP/USD pair was also affected by the dollar’s strength, although to a lesser extent. The pair eased but met buyers around 1.2850 to settle around 1.2880.
  • The Japanese yen was sharply lower amid risk appetite coupled with dollar’s demand. The USD/JPY pair nears the critical 109.30 resistance area. Gold traded as low as $1,480 a troy ounce.
  • Equities were sharply up in Asia and the EU, although US indexes just retained gains, holding a few points above their previous closing levels.
  • Crude oil prices held at the upper end of its daily range after OPEC's Barkindo said a deeper output cut is possible in December. Market players waiting for API and EIA reports.
  • Cryptocurrencies saw little price action, BTC/USD consolidated above 9,000.00. 

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