The Eurodollar traded higher after US inflation data and other indicators were lower than expected. The dollar was pressured lower against all its main rivals.
The British pound climbed to a two month high against the dollar. Below expectations midweek inflation figures from the UK did not reverse sterling’s progress.
The USD/Yen pair increased to hit a fresh one year high after Japanese economic Gross Domestic Product data disappointed.
Gold prices moved higher last week following US data suggesting inflation is getting under control. Traders expect the Fed’s current hiking cycle is complete and that interest rates may be cut twice in the first half of next year.
US stocks pushed higher again confirming their longest winning streak in two years. Tech and retail stocks have been outperforming other sectors in recent weeks.
Oil prices continued falling to record a fresh three month low as concerns continued about the Chinese economy and US oil demand. However, reports suggest that at its meeting on November 26th OPEC may decide upon an additional production cut which could potentially give prices a boost.