Markets consolidated in tight ranges, stock gain! 

  • US Dollar Trading diverged from normal correlations on Friday as stronger Stocks in the US failed to hurt the USD which managed small gains against most pairs. The rally in stocks was attributed to the improvement in November's Trade balance to 38.7b vs. 44bn previously and a jump in Consumer sentiment to 74.2 vs. 71.6 previously. In US stocks the DJIA traded +40 points closing at 11410 and the S&P traded +7 points higher closing at 1240 and NASDAQ +20 points closing at 2637.

    The Euro struggled to rally as the ECB fought internally over the size of the bailout fund and on whether the Euro zone can issue joint Eurobonds. Concerns over Peripheral bond markets still exist with Portugal and Spain the major focus. EUR/USD traded with a low of 1.3179 and a high of 1.3282 before closing at 1.3226. 

Currency to watch out for: EURUSD & USDJPY

  • § The EURUSD pivot point is at 1.3215 with a preference to enter into Short positions at 1.3150
  • § The USDJPY pivot point is at 83.80 with a preference to enter Long positions at 83.85               

Today's calendar and market movers: 

  • § Switzerland Import Prices for November forecasted at 0%
  • § Canada Capacity Utilization for Q3 forecasted at 76.5% 

Equity Markets: 

  • US equities closed positive on Friday with the S&P500 up 0.35% and the DJIA up 0.6%. The European bourses were mixed with the FTSE traded positive 0.09% the DAX and the CAC closing down at 0.60% and up -0.02% respectively. The NIKKEI and the HSI at the time of writing is 0.80% and 0.72% respectively.