This is what you need to know to trade today monday november 21:
Having closed the last two sessions of the previous week in positive territory, the DXY Dollar Index has started the new week on a bullish tone and has risen to a fresh 10-day high above 107.50. The feeling of risk aversion in the markets It helps the dollar stay strong early Monday as the yield on the 10-year US Treasury holds steady at around 3.8%. Later in the session, the Federal Reserve Bank of Chicago’s October national activity index will be the only data on the US economic calendar. Investors will continue to pay attention to comments from central bankers.
On Saturday, the president of the Atlanta Federal Reserve, Raphael Bostic said he was willing to walk away from a 75 basis point (bp) rate hike at the last policy meeting of the year.. These comments, however, did not influence the market’s assessment of the upcoming Federal Reserve (Fed) rate hike. According to the CME Group’s FedWatch tool, the probability of a 50 basis point rate hike in December stands at 80%, virtually unchanged from last week.
In the meantime, optimism about China moving away from zero-covid policy continues to fade. During the weekend, China reported covid deaths for the first time since May. In addition, several districts of beijing schools were closed in the face of the rising number of cases, while guangzhou ordered a five-day lockdown in its Baiyun district. Hong Kong’s Hang Seng Index is now down about 2% on the day and the Shanghai Composite Index is down 0.5%. US stock index futures, reflecting the moodiness of the markets, are down 0.3% to 0.4%.
Pressured by the renewed strength of the dollar, the EURUSD it has broken below 1.0300 and extended its decline towards 1.0250 early Monday. On Friday, “as the monetary policy stance tightens further, the pace of hikes will be more likely to slow,” European Central Bank (ECB) policy chief Klaas Knot said.
The GBPUSD posted modest gains last week, but has started the new week on the defensive. At time of writing, the pair is down towards 1.1800, losing more than 0.5% on the day.
After failing to make a decisive move in either direction last week, the USDJPY it has gained traction during the Asian session on Monday and has rallied towards 141.00. The Japanese cabinet has drawn up a spending plan worth 29 trillion Japanese yen ($207.37 billion), backed by new debt of about 23 trillion Japanese yen. Japanese Finance Minister Shunichi Suzuki has stated that the government will guide economic and fiscal policy in a “responsible” manner.
The price of Prayed it has extended its slide early on Monday and has broken below $1,750 after the sharp decline on Friday. Worrying news about the coronavirus in China seemed to weigh on XAUUSD earlier in the week.
The Bitcoin came under renewed selling pressure on Sunday and lost more than 2%. The BTCUSD continues to fall towards $16,000 in the early European morning. The ethereum It broke below $1,200 on Sunday and fell more than 6%. ETHUSD is now losing more than 1% on the day, around $1,100.
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.
