The US Dollar Continues to Soar
The US Dollar has seen six consecutive weeks of gains, thanks to the renewed excitement surrounding the "Trump trade." Federal Reserve Chair Powell’s positive outlook on the US economy has further fueled this rally, giving investors more confidence in the Greenback.
Key Economic Indicators to Watch
- The RCM/TIPP Economic Optimism Index, NFIB Business Optimism Index, and Consumer Inflation Expectations are set to be released.
- Weekly reports on Mortgage Applications, Inflation Rate, and US crude oil inventories will be published.
- Producer Prices, Initial Jobless Claims, and US crude oil stockpile data are also on the horizon.
- Retail Sales, Export and Import Prices, Industrial and Manufacturing Production, NY Empire State Manufacturing Index, and Business Inventories will round out the week.
Euro vs. US Dollar
The EUR/USD pair saw a decline, dropping to around 1.0730, as the US Dollar gained strength. Key economic data from Germany and the Eurozone, including inflation rates, economic sentiment, and employment change, will be released.
British Pound vs. US Dollar
GBP/USD saw modest gains below 1.3000 after five consecutive weekly declines. The UK labor market report, house price balance, GDP growth rate, trade balance, and other economic indicators are on the schedule.
Japanese Yen vs. US Dollar
USD/JPY experienced marginal losses above 152.00 after a five-week positive streak. Japan will release data on Current Account, Bank Lending, Eco Watchers Survey, Machine Tool Orders, and more.
Australian Dollar vs. US Dollar
Despite a strong retracement, AUD/USD managed to recover slightly. Key economic indicators from Australia, such as Consumer Confidence Index, Business Confidence gauge, Wage Price Index, and labor market report, will be crucial.
Anticipating Economic Perspectives: Voices on the Horizon
- ECB’s McCaul will speak on November 11.
- Fed officials Waller, Barkin, Kashkari, and Harker will speak on November 12.
- Fed’s Logan, Musalem, and Schmid are scheduled to speak on November 13.
- Fed’s Barkin, Kugler, Williams, and Powell will speak on November 14.
- ECB’s McCaul, Lane, and Cipollone will speak on November 15.
Central Banks: Upcoming Meetings to Shape Monetary Policies
- Banxico will decide on interest rates on November 14.
Analysis
The US Dollar’s continued strength and the upcoming economic indicators and central bank meetings will have a significant impact on global markets. Investors should closely monitor these developments to make informed decisions about their financial portfolios. The performance of major currency pairs like EUR/USD, GBP/USD, USD/JPY, and AUD/USD will be influenced by these factors, making it crucial for traders to stay informed and adapt their strategies accordingly.