Markets on Edge as US Election Day Begins, Dollar Holds Steady
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Financial markets are tense on U.S. election day, with polls showing a close race between Trump and Harris. Today’s U.S. economic calendar includes Goods Trade Balance and ISM Services PMI data, alongside a 10-year Treasury auction. The Dollar Index is holding just below 104.00, as currencies and commodities experience mixed movements. Notably, the RBA kept its rate steady, and Chinese Services PMI exceeded expectations, boosting the AUD.
Global Markets Steady on US Election Day, Dollar Index Holds Near 104
As the U.S. presidential election kicks off, markets remain on edge, with the latest polls suggesting a tight race between Donald Trump and Kamala Harris. In a day filled with anticipation, investors are also keeping an eye on the U.S. Goods Trade Balance and ISM Services PMI data due later. Additionally, the U.S. Treasury will auction 10-year notes, which could impact yields and the Dollar’s performance.
Forex Market Update: USD Fluctuations and AUD Gains
The U.S. Dollar held steady after closing lower on Monday, with the Dollar Index sitting just below 104.00. Meanwhile, the AUD/USD pair gained traction after the Reserve Bank of Australia (RBA) held its policy rate at 4.35%, as expected. RBA Governor Michele Bullock stated that a restrictive policy will remain necessary to control inflation, boosting the Aussie, which last traded around 0.6600.
EUR/USD: The Euro reached over two-week highs above 1.0900 on Monday before retracing to 1.0880. Market focus remains on the U.S. election and Eurozone inflation data. GBP/USD: The pair met resistance near 1.3000 and is consolidating slightly above 1.2950. USD/JPY: The Dollar-Yen pair is steady above 152.00 in European trading, after recording losses on Monday. Commodities: Gold and Oil in Focus as Election Unfolds
Gold traded sideways on Monday, ending the day nearly unchanged, with XAU/USD hovering below $2,750. Oil prices, which spiked over 3% on Monday amid Middle Eastern tensions and OPEC+’s extension of supply cuts, remained stable. Bitcoin rose by nearly 2%, as investors moved into alternative assets amid election uncertainty.
Asian Markets Rise on Positive China Data
Asian equities opened on a positive note, with Chinese stocks surging over 2% after the Caixin Services PMI improved to 52 in October, beating expectations. Japan’s Nikkei also climbed post-holiday, while the Australian and South Korean markets experienced minor declines. Positive sentiment in Asia has bolstered risk appetite, though uncertainty around the U.S. election could dampen further gains.
Outlook: Key Events and Market Sentiment
Today’s U.S. election and subsequent vote count are likely to drive market volatility, with no clear winner expected immediately. Investors are also eyeing upcoming Fed decisions and economic data releases that will shape sentiment. For now, cautious optimism prevails as traders monitor results and brace for potential fluctuations in response to election developments.
Global Markets Steady on US Election Day, Dollar Index Holds Near 104
As the U.S. presidential election kicks off, markets remain on edge, with the latest polls suggesting a tight race between Donald Trump and Kamala Harris. In a day filled with anticipation, investors are also keeping an eye on the U.S. Goods Trade Balance and ISM Services PMI data due later. Additionally, the U.S. Treasury will auction 10-year notes, which could impact yields and the Dollar’s performance.
Forex Market Update: USD Fluctuations and AUD Gains
The U.S. Dollar held steady after closing lower on Monday, with the Dollar Index sitting just below 104.00. Meanwhile, the AUD/USD pair gained traction after the Reserve Bank of Australia (RBA) held its policy rate at 4.35%, as expected. RBA Governor Michele Bullock stated that a restrictive policy will remain necessary to control inflation, boosting the Aussie, which last traded around 0.6600.
EUR/USD: The Euro reached over two-week highs above 1.0900 on Monday before retracing to 1.0880. Market focus remains on the U.S. election and Eurozone inflation data. GBP/USD: The pair met resistance near 1.3000 and is consolidating slightly above 1.2950. USD/JPY: The Dollar-Yen pair is steady above 152.00 in European trading, after recording losses on Monday. Commodities: Gold and Oil in Focus as Election Unfolds
Gold traded sideways on Monday, ending the day nearly unchanged, with XAU/USD hovering below $2,750. Oil prices, which spiked over 3% on Monday amid Middle Eastern tensions and OPEC+’s extension of supply cuts, remained stable. Bitcoin rose by nearly 2%, as investors moved into alternative assets amid election uncertainty.
Asian Markets Rise on Positive China Data
Asian equities opened on a positive note, with Chinese stocks surging over 2% after the Caixin Services PMI improved to 52 in October, beating expectations. Japan’s Nikkei also climbed post-holiday, while the Australian and South Korean markets experienced minor declines. Positive sentiment in Asia has bolstered risk appetite, though uncertainty around the U.S. election could dampen further gains.
Outlook: Key Events and Market Sentiment
Today’s U.S. election and subsequent vote count are likely to drive market volatility, with no clear winner expected immediately. Investors are also eyeing upcoming Fed decisions and economic data releases that will shape sentiment. For now, cautious optimism prevails as traders monitor results and brace for potential fluctuations in response to election developments.