"The market now prices a 58 percent chance of a December hike. The Fed will become increasingly emboldened in its attempt to finally raise interest rates, if it sees that markets can remain resilient each time it mentions the potential of a December hike." - Bank of New Zealand (based on The New Zealand Herald) Pair's Outlook The American Dollar appreciated against the
After reaching the 20-day SMA for the second time this week, the Aussie suffered a 37-pip loss.
The Euro surprised with its performance on Wednesday, falling against the Japanese Yen slightly deeper than anticipated.
The bullion is now declining for six consecutive days. Since Wednesday of the previous week gold has lost around $60 per ounce in its price, while yesterday a sell-off was extended below the four-month trend-line.
The USD/JPY appreciated slightly more than anticipated and, as a result, stabilised at the highest in two months.
Strong US fundamentals pushed the Cable back under the 1.54 level, but the powerful cluster around 1.5360 limited the losses.
The Euro continued to weaken further versus the US Dollar on Wednesday.
The New Zealand currency suffered rather heavy losses against the US Dollar, amid a poor reading of the New Zealand Employment Change.
Despite having reached the 55-day SMA, the US Dollar ultimately sustained losses against its Canadian counterpart.
"Reading the [RBA governor's] statement closely, this suggests the RBA is likely to wait until February when it will have another inflation print, which will likely confirm the lower than previously anticipated inflation trajectory. From here it seems that a rate cut in February is most likely."- ANZ (based on WBP Online) Pair's Outlook [ANNOUNCE][/ANNOUNCE]This time the 55-day SMA provided enough impetus for the
The European currency edged down on Tuesday, with the weekly PP somewhat limiting the losses.
Bears spent the Tuesday's trading session by actively selling the yellow metal, just before the bunch of US statistics is published later on Wednesday.
Although the USD/JPY managed to climb above the 121.00 major level, the 200-day SMA limited the Greenback's gains yesterday.
Even though the Sterling appreciated against the US Dollar, the pair gained only four pips.
EUR/USD pierced through the weekly PP at 1.0998 yesterday, thus reopening the next support zone for bears.
The 20-day SMA helped the New Zealand Dollar to remain in the green, even though the pair closed with only a nine-pip rally yesterday.
The USD/CAD's rally was slowed down by the monthly PP, resulting in the pair's failure to maintain trade above 1.31.
The Aussie appreciated against the US Dollar, but not as much as anticipated, as the 55-day SMA prevented the pair from edging higher.
The EUR/JPY cross remained relatively unchanged over Monday, adding only 18 pips.
As it was expected, the second attempt to penetrate both 55 and 100-day SMAs used to be quite successful.
The 55-day SMA failed to hold the USD/JPY from a corrective rally yesterday.
The better-than-expected UK Manufacturing PMI was insufficient for the Cable to maintain trade near the 1.55 level yesterday.
EUR/USD showed no signs of volatile development on Monday, being that market participants are waiting for major fundamental impetus to come through in course of the second part of this week.
The Kiwi's rally last Friday was insufficient to erase the two-week losses completely.