We hope everyone had a great Thanksgiving holiday.
The U.S. dollar was mostly unchanged over the Thanksgiving holiday. The only newsworthy event was that President Donald Trump signed legislation in support of the protestors in Hong Kong. It is uncertain how this move will affect the ongoing trade negotiations with China. Equity futures are slightly lower. There is no economic data set for release today so expect the status quo before things ramp up next week.
What to Watch Today…
- No major data out today
Complete Economic Calendar can be found here.
Better than expected economic data did little to boost the Euro overnight. The unemployment rate in Germany, Europe’s largest economy, unexpectedly dropped by 16K in November. Economists had expected the rate to rise. The print has led some analysts to claim that this might signal some stabilization in the slumping manufacturing sector. A separate report showed that a flash inflation estimate showed an increase of 1.0%, beating expectations. Inflation still remains firmly below the European Central Bank’s target of 2.0%.
The sterling had made some gains early in the week but is currently trading on the back foot as data showed that consumer confidence remains low. The GfK consumer index registered -14, matching the lowest level of the year. While economic data might move GBP/USD in short spurts, all eyes remain on the December 12th election and polls leading up to that date.