Trading news

Silver remains steady near $54.00 after rejection at $54.40 area.

US Dollar (USD) crosses have traded in tight ranges as the Thanksgiving holiday dried up flows. Volatility shouldn't pick up materially today, even though the dollar remains vulnerable to a convergence lower towards short-term swap rates, ING's FX analyst Francesco Pesole notes.

Australian Dollar (AUD) is likely to edge higher; any advance is likely part of a 0.6520/0.6555 range. In the longer run, rapid increase in upward momentum suggests AUD could rise further to 0.6555, potentially reaching 0.6580, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.

India Gross Domestic Product Quarterly (YoY) came in at 8.2%, above expectations (7.3%) in 3Q

USD/JPY is expected to hover around 156 as Japan’s budget lands broadly in line with expectations, while firm Tokyo inflation reinforces the BOJ’s gradual tightening path, DBS' Senior FX Strategist Chang Wei Liang notes.

Standard Chartered's inflation model uses surprise vs consensus for Spain core inflation to predict region-wide surprises. It predicts that euro-area core inflation for November will match the consensus estimate of 2.5% y/y.

The Pound Sterling (GBP) is expected to rise to 1.3300, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.

Growth in the US is seen as much more robust, and there is skepticism about an improvement in the German economy, and it has become increasingly clear that markets are somewhat critical of the expectation of a stronger EUR/USD over the coming months, Commerzbank's FX analyst Volkmar Baur notes.

EUR/JPY trades slightly lower on Friday, around 180.85, down 0.20% at the time of writing. The pair extends its corrective move, pressured by mixed European statistics and renewed interest in the Japanese Yen (JPY), even as uncertainty around Japan’s monetary policy persists.

The BoK’s move to drop rate-cut language has offered the KRW some support, even as officials flag rising overseas investment by young Koreans and call for more cautious FX hedging by the national pension fund, DBS' Senior FX Strategist Chang Wei Liang notes.

Upward momentum continues to increase; if Euro (EUR) closes above 1.1620, it could lead to a move toward 1.1655, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.

The inflation figures for the Greater Tokyo Area published this morning, which are a reliable indicator of price developments across the country, came in slightly above expectations.

Italy Consumer Price Index (MoM) below expectations (-0.1%) in November: Actual (-0.2%)

Italy Consumer Price Index (EU Norm) (YoY) fell from previous 1.3% to 1.1% in November

Italy Consumer Price Index (EU Norm) (MoM): -0.2% (November)

Italy Consumer Price Index (YoY): 1.2% (November)

Greece Retail Sales (YoY) dipped from previous 3.9% to -1.7% in September

Greece Producer Price Index (YoY): -1.4% (October) vs previous -1.1%

Belgium Gross Domestic Product (QoQ) meets forecasts (0.3%) in 3Q

With subdued holiday trading and a mixed Beige Book, the US Dollar (USD) steadies as markets see little impetus for a sharper move lower, DBS' Senior FX Strategist Philip Wee notes.