The dollar sold off in trading yesterday, which arguably had more to do with month-end shenanigans more than anything else. The flows look to be rushed this time around as everyone wants to get things settled before the Thanksgiving holiday kicks in. And with that, we are seeing major currencies settle down again today with the dollar recouping some light ground early on.
It’s not indicative of much yet but thinner liquidity conditions may not offer much of any direction either before the weekend. So, just be wary of that when reading into the market moves over the next few sessions.
With US out of commission, the focus is going to stay on Europe especially with inflation data on the agenda for today and tomorrow. Looking to the session ahead, we will have inflation numbers from Spain and Germany before moving on to France, Italy, and the overall Eurozone on Friday.
Besides that though, market players will be left to fend for themselves during the holiday period. It’s one of those times where taking a break might be better than trying to read too much into the market moves in the next two days.
0800 GMT – Spain November preliminary CPI figures
0900 GMT – Eurozone October M3 money supply
1000 GMT – Eurozone November final consumer confidence
1000 GMT – Eurozone November economic, industrial, services confidence
1300 GMT – Germany November preliminary CPI figures
That’s all for the session ahead. I wish you all the best of days to come and good luck with your trading! Stay safe out there.
