This is what you need to know to trade today wednesday november 16:
The escalation of geopolitical tensions it helped the safe-haven US dollar find demand late on Tuesday and allowed the DXY dollar index to erase most of its daily losses. As market participants weigh in on the latest news, US stock index futures and major currency pairs remain relatively quiet. The European Central Bank (ECB) will publish its Financial Stability Report later in the session and the Governor of the Bank of England (BoE), Andrew Bailey will testify before the UK Treasury Select Committee. In the second half of the day, the data from retail sales and industrial production October will appear on the US economic agenda. Finally, investors will pay close attention to the numbers of the Canadian Consumer Price Index (CPI) for October.
See: US October Retail Sales Preview: Dollar Unlikely to Find a Breath
The news about the impact of two Russian-made missiles in Poland, near the Ukrainian border, and the deaths of two people prompted a flight to safety. However, recent events suggest that missiles that hit Poland may have been fired by Ukrainian forces to counter other incoming Russian missiles. Russian officials called the Polish incident an attempt to provoke a direct military clash between NATO and Russia.
Meanwhile, China’s National Health Commission (NHC) said on Tuesday that have confirmed 17,772 new cases of Covid across the country, its highest total since April 2021. The NHC added that Guangzhou, a city of 19 million, accounted for more than a quarter of the cases.
The EURUSD It rose to its highest level since late June at 1.1480 on Tuesday, but gave away almost all of its gains to close at 1.0350. The pair rises early on Wednesday, but is still trading below 1.0400. On Tuesday, data published by Eurostat revealed that the euro zone economy grew at an annualized rate of 2.1% in the third quarteras expected.
The UK Office for National Statistics (ONS) has reported on Wednesday that the Annual Consumer Price Index (CPI) rose to 11.1% in October from 10.1% in September. This reading beat market expectations of 10.7%. Additionally, core CPI, which excludes volatile food and energy prices, was unchanged at 6.5%, versus analysts’ estimate of 6.4%. Despite high inflation figures, sterling struggled to find demand and the GBPUSD It is now trading in a tight daily range below 1.1900.
The USDCAD it is trading in a tight range below 1.3300 early Wednesday. At its last monetary policy meeting, the Bank of Canada (BoC) raised its interest rate by 50 basis points (bp), surprising markets that had anticipated a 75bp hike. Canada’s annual CPI is expected to remain unchanged at 6.9% in October.
The USDJPY it fell to its lowest level since late August on Tuesday, below 138.00, but regained traction on Wednesday. The pair is now trading in positive territory slightly below 140.00.
The Prayed It rose to its highest level in three months on Tuesday at $1,786, but closed the day below $1,780. With the 10-year US Treasury yield rising more than 1% in the European morning, XAUUSD dips but manages to hold above $1,770 for now.
The Bitcoin it posted modest daily gains on Tuesday but appears to have lost its bullish momentum early on Wednesday. At the time of writing, BTCUSD is trading unchanged on the day, slightly below $16,900. The ethereum It continues to trade in a tight range around $1,250 for the second day in a row on Wednesday.
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.
