Asian Markets Broadly Higher, Euro And Aussie Dollar Pressured
- Asian indexes ended their session broadly higher
- The Euro continued to struggle as did the Australian Dollar
- Oil prices looked forward to next week’s OPEC meet
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A stronger Wall Street lead put some fire under Asian stocks Tuesday as the US Thanksgiving break approaches.
The Nikkei 225 added 0.7% by the close with the ASX 200 up by 0.3% and all other major bourses in the green. Hopes for global growth remain strong despite elevated political tensions in diverse nations. Tuesday’s German data showed strong industrial activity while the Conference Boards’ leading US economic index came in at double the rate expected beforehand.
In the foreign exchange space the Euro continued to struggle with German leaders’ inability to forge a coalition government. Time is running on now, after all the election was in late September. Chancellor Angela Merkel reportedly said she would prefer another vote to leading a minority government. The Australian Dollar weakened following the release of Reserve Bank of Australia’s latest set of monetary-policy meeting minutes. These added little to the store of human knowledge but were judged dovish by the market. The US Dollar made broad but modest gains against its major traded rivals, with its strength hitting the gold price.
Crude oil prices rose slightly through the Asian session with market attention still firmly fixed on next week’s OPEC’ meet where an extension of production cuts is expected.
Still to come Tuesday are a speech from RBA Governor Philip Lowe in Sydney, public spending and borrowing data out of the UK and US existing-home sales numbers
--- Written by David Cottle, DailyFX Research
Contact and follow David on Twitter: @DavidCottleFX
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.