Market Overview

Forexlive European Wrap: Euro Takes an Early Bath Ahead of the NFP

Forexlive European Wrap: Euro Takes an Early Bath Ahead of the NFP

Eurozone October Final Mfg PMI falls to 45.4 from 46.1 in Sept
UK Oct Construction PMI rises to 50.9 from 49.5 in Sept, above a Reuters poll of 49.1, highest reading since July.
German October Final Mfg PMI 46.0 (from final 47.4 in Sept)
French Oct final Mfg PMI rises to 43.7 from 42.7
Italian Oct Mfg PMI falls to 45.5 from 45.7
Spanish Oct Mfg PMI falls to 43.5 from 44.6
China's PBOC: Intends to keep growth in social financing, money supply reasonable
German FinMin Schaeuble: G20 needs structural reforms and fiscal consolidation to ensure market trust and growth
Greek Coalition Faces More Tension Ahead Of Parliamentary Votes Next Week - ekathimerini

I was really looking for a quiet morning, but a raft of poor Mfg PMI's and comments from Germany's Schaeuble changed all that.

Macro sellers  led an early assault on EUR/USD tripping some sell stops through 1.2925 to lows around 1. 2895.  Bounces failed to hold above 1.2910 and Mr Market then targeted a 1.2880 barrier  (part of a DNT). This was duly broken with sell stops again triggered through 1.2875 to lows of 1.2865 before bids from real money names  led a half-hearted recovery to 1.2893.

GBP/USD found support at 1.6080 and received a boost from construction PMI back up through 1.6100, but failed to  recover to o/n highs. EUR/GBP broke down through 0.8000 on the PMI release but there was no follow-through with the cross settling around 0.8005 .

USD/JPY continues to grind higher but offers from exporters, option names ahead of a 80.50 barrier are proving stubborn with the pair stuttering in the low 80.30's.

AUD/USD led a gradual slide after overnight highs in Asia of 1.0419, drifting to 1.0368 in uninspiring trade. Support in EUR/AUD ahead of 1.2400 keeping the downside pressure on AUD/USD

Equities were largely quiet and flat, gold was bracketed in a $5 range around 1708,  and December WTI shed just over  50 cents to lows around $86.26 per barrel

Roll on the NFP....

The preceding article is from one of our external contributors. It does not represent the opinion of Benzinga and has not been edited.

Posted-In: News Forex Global Markets


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