Psychology for major markets October 30th

EUR/USD – EUR/USD gaining ground on stronger Eurozone Q3 GDP data. Awaiting US GDP data later but 1.08 now looks like good support.

USD/JPY – JPY recovering modestly in a generally softer USD environment, but likely to weaken further unless the US data softens or the BoJ gives some hawkish indications at the October 31 meeting.

EUR/GBP – GBP slipping back ahead of the UK budget helped by a generally firmer EUR. Still has potential for re-rating if market sees budget as prudent and growth positive.

AUD/USD – Struggling against firm USD despite solid domestic fundamentals and more hawkish RBA after strong employment data. But risks on upside provided China news doesn’t deteriorate.

Equities – S&P 500 may be toppy with US yields still firm despite solid growth data with valuations stretched and risks around the US election.