Amid lingering US-China trade uncertainty and Hong Kong unrest, the risk sentiment remained tepid in Black Friday’s quiet Asian trading. The Asian equities traded on the back foot, led by the declines in Hang Seng while the Wall Street futures also incurred moderate losses. The US dollar was on the defensive across its main competitors amid a lack of fresh catalysts and Thanksgiving holiday-mood dull trading. Gold, on the other hand, recovered some ground but remained below the 1460 level.
Across the fx board, thin trading ranges persisted, as markets refrained from placing any directional bets amid trade tensions and monthly closing. USD/JPY was flatlined around 109.50, having faced rejection at higher levels amid BOJ Governor Kuroda’s comments. The Aussie attempted a tepid bounce towards 0.6780 region while the Kiwi traded better bid near 0.6430 following upbeat ANZ New Zealand Consumer Confidence gauge. Meanwhile, USD/CAD traded firmer and neared 1.33 handle amid weaker oil prices.
Both the European currencies, EUR/USD and GBP/USD cheered broad-based US dollar weakness but the gains were limited heading into a busy EUR docket.
Main Topics in Asia
Japanese data dump, headline CPI: +0.8 PCT YoY (beats 0.4% expected/prior)
UK Business confidence in economy on the rise - The Times
Japan Economic Minister Nishimura: Will make continued efforts to support consumption
Fitch cuts its outlook on Japanese insurers to ‘Stable’
S. Korean TradeMin: S. Korea-Japan trade talks likely in December
BOK’s Lee: Today’s rate decision was not unanimous one member called for a rate cut
BOJ’s Kuroda: BOJ to guide policy with easy policy bias given the overseas downside risks
China protests US law supporting Hong Kong but signals hope for trade deal - WSJ
Key Focus Ahead
We have a relatively busy Friday’s EUR calendar, in light of the Thanksgiving and Black Friday light trading anticipated. The Retail Sales and Employment data is due out of Germany at 0700 GMT and 0855 GMT respectively while a slew of minority reports will be published from the UK at 0930 GMT. The key event of note in Europe remains the Eurozone Preliminary Consumer Price Index (CPI) and Jobless Rate data, dropping in at 1000 GMT. Also, in focus remains the Indian growth numbers due at 1200 GMT, which will be closely eyed by the INR markets.
The Canadian Q3 Gross Domestic Product (GDP) and Industrial Production data will headline a holiday-subdued NA session, as US traders will be operating half time. Markets also await fresh developments on the US-China trade front, as Hong Kong is likely to see large-scale protest rallies, this time on social media, this weekend.
EUR/USD trades near 1.10, eyes monthly loss
EUR/USD is on track to end November on a negative note. November's drop has poured cold water over the optimism generated by October's sharp rally. The EUR may find love if the German data beats estimates.
GBP/USD struggles to remain strong as UK media criticizes PM Johnson
GBP/USD stays a little changed around one week high above 1.2900. The quote rallied Thursday after YouGov’s MRP indicator signaled Tory lead.
Key economic data on Black Friday – Rabobank
The Rabobank Research Team offers a brief preview of the key economic events due on the cards this Black Friday.
Canadian PM Trudeau, Mexico representative to meet on NAFTA Friday
Latest headlines are crossing the wires, via Reuters, citing Canada's Prime Minister (PM) Trudeau and Mexican Undersecretary of Foreign Relations Jesus Seade will meet on Friday.
OPEC, OPEC and more OPEC will be what oil markets will be all about next week
A crucial meeting of the OPEC+ alliance will take place in Vienna on 5–6 December and the price of oil depends on it.
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. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
EUR/USD extends gains above 1.0700, focus on key US data
EUR/USD meets fresh demand and rises toward 1.0750 in the European session on Thursday. Renewed US Dollar weakness offsets the risk-off market environment, supporting the pair ahead of the key US GDP and PCE inflation data.
USD/JPY keeps pushing higher, eyes 156.00 ahead of US GDP data
USD/JPY keeps breaking into its highest chart territory since June of 1990 early Thursday, recapturing 155.50 for the first time in 34 years as the Japanese Yen remains vulnerable, despite looming intervention risks. The focus shifts to Thursday's US GDP report and the BoJ decision on Friday.
Gold closes below key $2,318 support, US GDP holds the key
Gold price is breathing a sigh of relief early Thursday after testing offers near $2,315 once again. Broad risk-aversion seems to be helping Gold find a floor, as traders refrain from placing any fresh directional bets on the bright metal ahead of the preliminary reading of the US first-quarter GDP due later on Thursday.
Injective price weakness persists despite over 5.9 million INJ tokens burned
Injective price is trading with a bearish bias, stuck in the lower section of the market range. The bearish outlook abounds despite the network's deflationary efforts to pump the price.
Meta takes a guidance slide amidst the battle between yields and earnings
Meta's disappointing outlook cast doubt on whether the market's enthusiasm for artificial intelligence. Investors now brace for significant macroeconomic challenges ahead, particularly with the release of first-quarter GDP data.