Europe Summary and Highlights 9 Nov
Dollar eases back, choppy action, major pairs not far from recent anchors
Some risk counter bounce, NZD the outperformer out of early election indications
Dollar giving back a bit of ground to start the week, to continue the recent choppy consolidative action out of the midterms and amid some competing pulls, as well as positional overhangs (underscored again in IMM data). DXY indecisive in 1pt or so band.
For all the recent gyrations, EUR/USD finds itself not far from the recent 1.12 anchor and USD/JPY on and around 158.
Risk counters likewise settle and recoup a little on the day, with some bounce seen in Asia / tech risk (although Nasdaq hasn’t built a convincing recovery or spike low yet in the US).
Alongside some help from some ease off in volatility, NZD also the strongest performer as preliminary election results so far look to be favouring the National party to head up the next government and a contained coalition (more borderline), the market’s kiwi preference.
Oil off around $1, Trump comments look to support notion that post election strikes now unlikely. Still inside post election range, and NOK trades with USD / risk on the session regardless.