Things to watch out for on Friday, December 30:
The dollar fell on Thursday, compounded by weak markets. The sentiment set the tone throughout the day, and the headlines about China provoked different reactions in the markets. Financial markets went on alert on Wednesday after Italy reported that roughly 50% of passengers on two flights arriving in Milan on Wednesday tested positive for COVID-19, and several Western countries rushed to impose controls on Chinese travelers, fearing the spread of a new strain. However, at mid-morning Italy reported that it had not found new covid variants in the aforementioned tests.
Mood improved ahead of the US open, with Wall Street posting big gains. However, Concerns about growth and inflation continue in the background. US Treasury yields rose at the shorter end of the curve, while the 10-year Treasury yield lost 4 basis points.
The EUR/USD pair reached a high of 1.0689, holding holdings ahead of the Asian open. GBP/USD is trading around 1.2060, with limited gains amid UK strikes. The 1,000 members of the Public and Commercial Services Union (PCS) are on strike for four days, until New Year’s Eve.
Commodity-linked currencies rose against their US rival. AUD/USD is trading at the 0.6780 area, while USD/CAD dips to 1.3540.
The Japanese yen appreciated on the general weakness of the US dollar and the news that the Bank of Japan carried out two unplanned bond purchase operations.
Gold rose slightly and ended the day around $1,816 a troy ounce. The Crude Oil market weakened early in the day but pared most of its losses before the close. WTI is trading around $78.30 a barrel.
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
