Forex Today: Markets bid on trade hopes, Boris boost for GBP/USD, oil rally fueled by rigs
Here is what you need to know on Monday, November 18:
- Trade: High-level US and Chinese officials have held talks over the weekend and described them as "constructive." The mood in markets in "cautiously optimistic" with minor drops in the yen and gold. US Commerce Secretary Wilbur Ross expressed optimism ahead of the weekend, but President Donald Trump is yet to give his approval to the removal of tariffs.
- UK elections: The latest batch of elections polls have shown that Boris Johnson's Conservative Party has increased its lead against the opposition Labour Party. The Tories are boosted by the rapid decline of Nigel Farage's Brexit Party, which failed to field candidates in more seats than had been expected. GBP/USD is extending its gains above 1.29. Johnson and Labour leader Jeremy Corbyn will both address the Confederation of British Industry's conference today. See GBP/USD Forecast: All aboard the Boris bus? Downside momentum dims outlook
- EUR/USD has been recovering from the lows. European Central Bank members Luis de Guindos, Phillip Lane, and Pablo Hernández de Cos will be speaking today. See EUR/USD Forecast: Tepid recovery doesn’t affect the bearish case
- Fed: Mary Daly, President of the San Francisco branch of the Federal Reserve, has supported keeping interest rates low to support the labor market. The Fed's meeting minutes are due out later this week.
- Oil prices are holding onto most gains, as US output may be peaking. The Baker Hughes rig count has decreased to 674.
- Cryptocurrencies have been on the back foot, extending their erosion. Bitcoin has dropped below $8,500.
More Dollar Ends Bruising Week - More Losses Ahead?
Author
Yohay Elam
FXStreet
Yohay is in Forex since 2008 when he founded Forex Crunch, a blog crafted in his free time that turned into a fully-fledged currency website later sold to Finixio.
