As of Monday, November 1, this is everything you ought to know: When it came to the final trading day of October, the Greenback outpaced its competitors, and the US Dollar Index (DXY) reached its greatest point since mid-October. Major Forex pairings are relatively calm at the beginning of the current month, and trading activity is expected to remain muted as a result of thin trading circumstances.
The ISM Industrial PMI for October will be released in the second period of the day, which will be a highlight of the US economic calendar. After introducing the latest amendments to the $1.75 trillion development legislation on Sunday, Democrats in the House plan to vote on President Joe Biden’s “Building Back Stronger” and construction proposals on Tuesday. Market index futures for the United States are up slightly in the initial Eu session.
The return on the benchmark 10-year Treasury bond is hovering at 1.5%, but speculators’ attention is centered on the collapsing yield curve, which continues to rise. Nevertheless, the yield on the 10-year German government bond is approaching the positive region for the first occasion since May of this year. And over the weekend, global leaders expressed their resolve to resolve the problems associated with global distribution networks. “We must move now, in partnership with our private sector partners, to decrease the backlogs that we are experiencing,” Biden stated at the G20 conference in Davos.
The Euro/Dollar exchange rate came under intense bearish pressure in the second half of the trading day on Friday, wiping out all of the gains it had initially made after the European Central Bank (ECB) session on Thursday. In the early part of October, the pair was trading sideways at 1.1550, but it was perilously close to the 2021 low of 1.1524, which it reached in the same month. Because of fresh Brexit worries and wide-ranging USD gains, the Pound is trading at its lowest level since mid-October, around 1.3660, which is the weakest level since then.
For the time being, the AUD/USD is edging downwards at the start of the week, although it is still trading over 0.7500. Previously in the day, statistics from China indicated that the Caixin Manufacturing PMI increased moderately to 50.6 in October, exceeding the market’s forecast of 50. The USD/JPY spiked above 114.00 on Friday and maintained its bullish trend on Monday, with the robustness of the Greenback providing a lift.
Gold was unable to maintain its hold of over $1,800 last week, and it made a dramatic U-turn on Friday. Presently, the gold-to-dollar exchange rate is floating sideways near $1,780. Blockchain technology: After recovering above $60,000 over the weekend, Bitcoin continued the weekend bouncing in a reasonably narrow range, with the $62,000 level functioning as near-term support. After reclaiming all-time highs, Ethereum saw a technical correction, but it does not appear to be having any difficulties maintaining its position over $4,000.