Australian Dollar (AUD) Edges Higher as Market Mood Improves
The risk-sensitive Australian Dollar (AUD) began to firm over the course of Monday’s trade, as investors’ spirits brightened.
Amid speculation that central banks across the globe had reached the end of their tightening cycles, risk appetite returned, which boosted AUD.
Today, the ‘Aussie’ could see choppy trade if an uptick in consumer confidence is offset by a fall in business confidence.
New Zealand Dollar (NZD) Unable to Capitalise on Optimistic Trade
Yesterday, the New Zealand Dollar (NZD) weakened against most peers, as risk aversion ebbed and flowed.
As an acutely risk-sensitive currency, the ‘Kiwi’ was unable to gather much support during the session, despite some spots of risk-on trade.
NZD exchange rates could see volatility today, as investors react to the latest food inflation data.
Pound (GBP) Ticks Upward amid Risk-On Trade
A shift towards a bullish market impulse supported the Pound (GBP) yesterday, despite a light data calendar.
Due to its increasingly risk-on nature, Sterling was able to gain ground amid suggestions that the world’s central banks were at the end of their rate hiking cycles.
The UK’s latest wage data is due to print this evening, with a slight cooldown anticipated for September’s wage growth. This could dent GBP by leading to pared-back Bank of England (BoE) tightening bets.
Euro (EUR) Capped by Shifting Market Mood
On Monday, the Euro (EUR) traded without much direction as macroeconomic data releases were thin on the ground.
The market mood was in flux across the day’s trade, which prevented the common currency from finding its footing.
Tonight, Germany’s ZEW economic sentiment index is due to print and is expected to show a significant improvement. This could boost EUR.
US Dollar (USD) Wavers Lower amid Cautiously Upbeat Mood
The US Dollar (USD) endured mixed trade yesterday, as a lack of data kept the focus on a variable market mood.
Although the mood shifted, causing some choppy trade, a cautiously upbeat sentiment ultimately prevailed. This saw the safe-haven ‘Greenback’ soften against some peers.
Later tonight, the US consumer price index for October is due to print, with a cooldown forecast for headline inflation. However, core inflation is expected to remain unchanged, which could reaffirm Federal Reserve rate hike bets and lift USD.
Canadian Dollar (CAD) Unmoved by Recovering Oil Prices
The commodity-linked Canadian Dollar (CAD) edged lower on Monday, despite signs of recovery in crude oil prices.
Oil price dynamics are likely to be the main driver of movement for the ‘Loonie’ during today’s trade.
Data Releases
Nov 14th 07:45 NZD Food Inflation (Oct) 7.4%
Nov 14th 09:30 AUD Westpac Consumer Confidence Index (Nov) 82.6
Nov 14th 10:30 AUD NAB Business Confidence (Oct) -1
Nov 14th 17:00 GBP Unemployment Rate (Sep) 4.4%
Nov 14th 17:00 GBP Average Earnings (Sep) 7.7%
Nov 14th 20:00 EUR DE ZEW Economic Sentiment Index (Nov) 5
Nov 14th 23:30 USD Inflation Rate (Oct) 3.3%