On Monday, the Greenback edged higher vs. a basket of major currencies as U.S. yields rose and with traders regionally welcoming comments from leaders in Manila at the annual ASEAN summit on trade prospects. However, the main trader focus was still on the US tax proposal.
The Single currency fell as much as 0.22% vs. the U.S. dollar with EUR/USD at $1.1641. No major reports are due from EU today.
The Sterling pound fell dramatically by 0.83%, with GBP/USD at $ 1.3084, on reports Conservative Party MPs are ready to challenge Theresa May's leadership, while Brexit talks face a crucial deadline. Brexit minister David Davis said on Sunday that Britain will not offer a figure or a formula for how much it believes it owes the European Union, highlighting the lack of progress plaguing the divorce negotiations.
Against the JPY, the Greenback fell as much as 0.05% at 113.50 yen. On the release front, markets are awaiting BOJ Governor Speech, which is expected to mention the monetary policies in Tokyo.
Gold prices rose as Philadelphia Federal Reserve Bank President Patrick Harker said yesterday that the U.S. central bank did not have to omit many of the monetary policy accommodation before it returned to a neutral stance. Gold Futures - Dec 17 (GCZ7) rose as much as 0.21%, to settle at $1,276.91. Traders are awaiting the Central Bank Communications Conference, with a panel discussion involving the heads of the European, U.S., British and Japanese central banks in the spotlight.
Earlier today, oil prices declined from their strongest level in more than two years amid expectations that U.S. producers will work up output to take advantage of the recent rally.
Crude Oil WTI Futures - Dec 17 (CLZ7) fell as much as 0.02% to settle at $ 56.73 and Brent Oil Futures - Jan 18 (LCOF8) was down by 0.08% at $63.47.
Economic Calendar (all times in GMT)
The prices and news mentioned in this outlook are absolutely no guarantee of future market performance and do not represent the view of ICM Capital Limited. Financial markets can move in either direction causing profits to be made or complete losses to be incurred by the trader. Each trader must decide for themselves what their risk appetite is and ensure that correct risk management procedures are in place before placing any trades.