The Dollar Index Closed in the Red Zone. Investors Expect News on APEC Summit Venue

On Friday, the US dollar fell against a basket of currency majors. The United States published mixed data on the labor market. Thus, 128,000 new jobs were created in the nonfarm sector of the country, which is higher than the forecasted value of 89,000. At the same time, the growth of average hourly earnings slowed down from 0.4% (m/m) to 0.2% (m/m ) The unemployment rate rose from 3.5% to 3.6%. ISM manufacturing PMI counted to 48.3 and was worse than the forecasted value of 48.9.

Meanwhile, news that Washington and Beijing would soon announce a new place where US President Donald Trump and Chinese President Xi Jinping would sign the "first phase" of the trade deal put additional support to the markets. It should be recalled that an APEC summit, at which officials were supposed to sign the deal, was to be held in Chile. However, the summit was soon canceled by the Chilean authorities. It also became known that on Friday phone negotiations between Vice Premier of the People’s Republic of China Liu He, US Trade Representative Robert Lighthizer and US Secretary of the Treasury Steven Mnuchin took place, during which the main provisions of the future agreement were concluded.

The "black gold" prices show positive dynamics. At the moment, futures for the WTI crude oil are testing the $56.60 mark per barrel.

Market Indicators

On Friday, there was the bullish sentiment in the US stock markets: #SPY (+0.93%), #DIA (+1.06%), #QQQ (+0.91%).

The 10-year US government bonds yield has moved away from local lows. At the moment, the indicator is at the level of 1.75-1.76%.

The Economic News Feed for 04.11.2019:
  • - German manufacturing PMI at 10:55 (GMT+2:00);
  • - Construction PMI in the UK at 11:30 (GMT+2:00).

by JustForex, 2019.11.04

We advise you to get acquainted with the daily forecasts for the major currency pairs.

This article reflects a personal opinion and should not be interpreted as an investment advice, and/or offer, and/or a persistent request for carrying out financial transactions, and/or a guarantee, and/or a forecast of future events.

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