Morning Wrap (14.11.2024)

• The start of Thursday's trading session in the markets is continuously marked by the US dollar, which is extending gains against most currencies.

• The USD/JPY rose above 156.00, reaching its highest level since July. EUR/USD, meanwhile, fell below 1.0550 to its lowest level in a year.

• Asian markets mostly lost ground today, mimicking the uncertain sentiment seen on Wall Street yesterday. Japan's Nikkei is losing 0.33%, while the Hang Seng is down 1.7%.

• Futures point to a lower opening of the session in Europe. Futures based on the Euro Stoxx 50 index are currently off 0.15%.

• The macro calendar scheduled for today's session is packed with the publication of important economic data. These will include CPI data from Spain, GDP data from the Eurozone and Poland, ECB minutes, the PPI report from the US, data on oil and gas inventories in the US, as well as numerous speeches by central bankers, including Fed Chairman Jerome Powell and ECB President Christine Lagarde.

• Early in the day, the highlight was Australia's employment report for October. Job growth slowed and the unemployment rate stabilized at 4.1%.

• As reported by Reuters, the Japanese government is preparing to include about 13.5 trillion yen in additional funds in the budget to finance a stimulus package to help low-income households and offset the pressure caused by rising prices.

• Precious metals are extending losses this morning driven by the strong dollar. Gold is currently losing 0.6%, while silver is down 0.9%.

• The energy commodities market is also seeing declines. Natural gas is losing 0.85%, while WTI oil prices are down 0.15%.

• The sentiment in the crypto market is good. Bitcoin is trading above $90,000, allowing altcoins to rise a bit more. The biggest gainers at the moment are Litecoin (+11%) and Stepn (+7%).

Heatmap of the volatility currently observed in the FX market. Source: xStation