Welcome to this week’s Market Blast Fundamentals where we will look at AUDUSD, WTI (US Oil), Brent Crude (UK Oil), EURGBP, and USDJPY.
The US Majors are showing us weakness against most except the Japanese Yen.
Most analysts feel that a projected Democratic win in next month’s US elections will drive the USD weaker still, and the current situation with the US President’s COVID illness encourages a Biden win.
This week we will watch for economic news on US Non-Manufacturing PMIs, tomorrow’s JOLTS Job Openings and a speech by Fed Chairman Powell, with FOMC Minutes Wednesday.
Out of London we will hear Bank of England Governor Andrew Bailey, Friday’s Manufacturing Production numbers and GDP.
The Pound has gained strength over the last week or two even though Brexit talks are inconclusive but Prime Minister Boris Johnson and European President Ursula von der Leyen will continue talks this week.
Both WTI and Brent Crude are trading much lower with US Oil at less than $38 per barrel based on demand fears caused by COVID-19.
This has caused a wild ride for the Canadian Dollar which is now consolidating but watch for Wednesday’s PMI and Crude Oil Inventories, a speech from the Bank of Canada governor Thursday, and Employment Change Friday.
And finally, watch for tomorrow’s Australian Interest Rate decision where we have seen some improvement in the Australian Dollar over the last week or so.
That’s all for now. Happy trading with Valutrades and we will see you tomorrow.
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