Fundamental Analysis – 09/11/2015

Good Morning,

US Non-farm payrolls spike in October. This month’s blowout nonfarm payrolls report pushed USDJPY to 2 month highs and EURUSD and GBPUSD to 6 month lows. Oil prices sank Friday after the US Federal Reserve expressed doubts about the strength of the global economy as it held off from an interest rate hike. Gold has declined sharply in recent weeks with no pause or intermittent breaks in the decline. Canada Unemployment Rate registered at 7%, below expectations (7.1%) in October. United States Unemployment Rate below forecasts (5.1%) in October: Actual (5%). With positive sentiments in the market and the sudden change in the authority’s tone in the meeting, markets are looking forward to the Federal Open Market Committee's (FOMC) upcoming meeting. USDCHF is trading at 1.0053 while GBPUSD is trading at 1.5048.

NZD traded very well in October, rising almost without interruption against USD and against all other G10 currencies, including the other risk proxies. AUD continued to sink, registering a fourth consecutive week of losses and hitting a monthly low against USD. EURJPY tumbled lower after the US employment report and has been rising ever since. In a holiday shortened week, the Nikkei 225 index at the Tokyo Stock Exchange rose 0.78%, or 149.19 points, to 19,265.60, its best close since late August. EURUSD is trading at 1.0739 while USDCAD is trading at 1.3304.

EURGBP is trading at 0.7141 as both currencies dropped together against a strong US dollar. Bank of England Governor Carney warned that due to the subdued inflation outlook it may be some time before the first hike takes place, with the Bank of England in no rush to raise interest rates. FTSE indices closed mixed as Wall Street opened lower on jobs data that hiked the possibility of a December rates hike. GBPCHF is trading at 1.5120 while EURCHF is trading at 1.0800.

Daily Performances (00.00 am. GMT);

I hope you all have a nice day.

All the figures are as at the writing time.