Europe Summary and Highlights 1 December
The USD was softer through the European morning, with EUR/USD gaining 30 pips to 1.1625 and USD/JPY extending overnight losses by 35 pips to 155.25.
European morning session
The USD was softer through the European morning, with EUR/USD gaining 30 pips to 1.1625 and USD/JPY extending overnight losses by 35 pips to 155.25. However, while the SEK held its own against the EUR, most other currencies were weaker against both the EUR and the JPY, and not much changed against the USD, with just marginal gains for the AUD and CHF.
There wasn’t much news of note. European final manufacturing PMIs were not significantly revised, with the UK PMI unchanged from the preliminary and the Eurozone just 0.1 lower. UK money and credit data was mixed, with weaker than expected M4 growth and net lending to individuals but slightly higher than expected mortgage approvals.
Asia session
The JPY is catching early bid with risk sentiment turns sour after a good opening. Bank of Japan Governor Ueda says will raise rates if prices, economy move as forecast in Nagoya with business leaders. It seems to be reinforcing his stance despite most remarks being copy and pasted. USD/JPY is trading 0.43% lower at 155.46 with JGB yields moving sharply higher.
U.S. major equity indexes initially opened with a minor gap higher but turns lower as session progress. It could be related with the situation between U.S. and Venezuela where Trump was talking harsh words on closing airspace over the weekend. Oil also turned higher, along with OPEC's output hold. AUD/USD is trading 0.16% lower at 0.6539, NZD/USD is trading 0.11% lower while USD/CAD rises 0.09%. Else, EUR/USD is up 0.05% and GBP/USD is down 0.02%.