Psychology for major markets November 18th

EUR/USD – Some stabilisation as the USD corrected lower at the end of the week, and EUR yields rise in early trading this week. 1.05 looks like good support for now, with scope to edge towards 1.06.

USD/JPY – USD/JPY showing slight disappointment with lack of a clear signal of a December rate hike from BoJ governor Ueda, but looks toppy above 155.

EUR/GBP – GBP falling back after weaker September and Q3 GDP data, with levels below 0.83 looking hard to challenge near term.

AUD/USD – AUD/USD bounced modestly with general USD correction but remains depressed relative to yield spreads in part due to concerns about tariffs and China.

Equities – S&P 500 coming off post-election highs. While tax cuts are seen as positive, tariff increases are not and at current valuations upside looks very limited.