This is what you need to know to trade today tuesday november 22:
The US dollar appears to have lost steam early on Tuesday after posting impressive gains against its main rivals on Monday. The Dollar Index remains slightly above 107.50 and the 10-year US Treasury yield continues to move sideways around 3.8%. Meanwhile, US stock index futures are trading virtually unchanged on the day, pointing to a neutral mood in the market. Later, the European Commission will publish consumer confidence data for November in the Eurozone and the Richmond Fed manufacturing index will be published on the US economic agenda. Investors will continue to pay attention to comments from central banks.
On Monday, the US dollar benefited from risk aversion in markets, which reacted to worrying news about the coronavirus in China. Investors are increasingly concerned about a global economic downturn as China refrains from further easing restrictions in the face of Covid. On Monday, China reported more than 28,000 new local cases and the city of Beijing announced the closure of parks and museums starting Tuesday. Although recent events show that the situation is worsening, safe-haven flows continue to dominate the action.
Meanwhile, the oil prices Crude came under severe downward pressure during US trading hours on Monday after a Wall Street Journal report claimed Saudi Arabia was planning to increase OPEC+ production. West Texas Intermediate (WTI) barrel fell to a new 2022 low of $75.25 on the back of this headline. However, Saudi Energy Minister Abdulaziz bin Salman Al-Saud denied this claim, noting that a possible production increase was not being discussed. In turn, crude oil prices rallied strongly and WTI was last flat on the day, slightly above $80.
The EUR/USD it lost almost 100 points on Monday before entering a consolidation phase around 1.0250 early Tuesday. Comments from European Central Bank (ECB) officials reveal a difference of opinion on the next rate move. ECB chief Mario Centeno said late on Monday that there were many conditions for the next rate hike to be below 75 basis points (bp). Secondly, Robert Holzmana member of the ECB’s Governing Council, said he would support a 75 basis point rate hike at the next meeting if the situation remains the same.
The GBP/USD it fell below 1.1800 on Monday but bounced back later to close above that level. The pair is trading in a narrow channel below 1.1850 in the European morning.
The USD/JPY gained bullish momentum and advanced towards the 142.00 zone on Monday, thanks to the strength of the US dollar. The pair remains in a consolidation phase near that level early on Tuesday.
The price of Prayed It fell to a 10-day low near $1,730 on Monday, but managed to limit its losses with US Treasury yields without gaining traction. XAU/USD is trading slightly higher above $1,740 in European time.
The Bitcoin it lost more than 3% on Monday and hit its lowest level in two years below $15,500. BTC/USD was last seen trading in a tight channel near $15,700. ethereum It is already down nearly 5% since the start of the week and is trading just short of the multi-month low of $1,070 earlier in the month.
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.
