Forex news for North American trade on November 12, 2021:
- US November UMich prelim consumer sentiment 66.8 vs 72.4 expected
- US September JOLTS job openings 10.438M versus 10.300M estimate
- Feds Williams: There are segments of the labor force that are more protected
- Democrats more worried about Manchin than Sinema on reconciliation package
- White House says looking at every tool in the arsenal to address gas prices
- A look at the global covid situation as Dutch government orders a three-week partial lockdown
- Baker Hughes oil rig count 454. Up 4 on the week
Markets:
- Gold up $3 to $1865
- US 10-year yields up 2 bps to 1.57%
- WTI crude oil down 78-cents to $80.81
- S&P 500 up 32 points to 4681
- AUD leads, EUR lags
The UMich survey has a spotty recent history but a 10-year low is tough to ignore and it opened the door for a relief rally in the currencies that were beaten up by the dollar this week.
The dollar fell around 30 pips against the field after the data, albeit at a different pace on different fronts. The pound was also aided by a better brexit tone from Irish border negotiators.
The euro was unable to take advantage of the softening dollar as it chopped near the lows of the week before finishing near 1.1445. That marks a weekly close below the key 1.1500 level.
Cable and AUD/USD erased Thursday's losses to show a bit more lift but both struggled mightily this week.
Improving equity sentiment was also a tailwind for risk trades. Futures had pointed to a 0.3% but we finished the day up 0.7% in the S&P 500 and more in the Nasdaq as no dip is too small to buy for this market.
Gold finished off a strong week by showing some resilience. It fell to $1845 in Asia in a retest of the key breakout level but it held before climbing back to $1864.
Here's a look at what's on the calendar next week. I'll be in London next week at the Finance Magnates London Summit. Look me up if you're around.
