Ahead of the US employment data, Friday’s Asian session repeats the ordinary tune of inaction. A lack of significant data/events amid the uncertainty of US diplomats over the status of the US-China trade talks increased the dormancy.
With the Chinese central bank avoiding changes to its Medium-term Lending Facility (MLF) rate, Australia and New Zealand dollars gained. But the U.S. dollar is under pressure because traders doubt the upbeat forecasts from today’s top-tier data.
From the greenback’s weakness ahead of the Industrial Production data, the European currency fails to benefit. JPY (Japanese Yen) and gold are a little bit bid during the cautious tone. The Organization of the Petroleum Exporting Countries (OPEC) leader Saudi Arabia said it would confirm the 500k barrels’ production cut.
Amid recent criticism of the United Kingdom’s (UK) Prime Minister (PM), GBP/USD bulls are catching a breath. Ahead of the employment data from the US and Canada, USD/CAD traders seem too cautious.
US and Canada
The spotlight will be at the employment data from the US and Canada. But the final day of the OPEC meeting, the US Michigan Consumer Sentiment Index, and German Industrial Production will remain essential issues as well. Though the German data might not get significant attention, the OPEC could move the oil prices in case of any surprise announcements.
Germany, the Eurozone’s manufacturing powerhouse, is set to publish Industrial Production figures for October later in the day. The data will most probably show the factory activity expanded at a seasonally adjusted rate of 0.1% month-on-month in October, having dropped in the preceding month by 0.6%. The annualized index is forecasted to show at -2.8% compared to September’s -4.3%.
Heading into the London open of Friday, GBP/YSD seesaws around 1.3160.
Recent US economic indicators are downbeat; nevertheless, they are robust consumption supports them, and it includes silver linings.
- Trading Instrument