- Oil remains under pressure by a strengthening USD and lack of OPEC action prior to the weekend. Brent broke to fresh 6-year lows and WTI looks broker below $40 per barrel for the forst time since August and now within striking distance of breaking to new multi-year lows.
- The Kiwi Dollar was the worst hit overnight has traders positioned themsleves for a rate cut by RBNZ later this week. Some analysts suspect the rising NZD may be enough to get RBNZ to pull the trigger but I am of the view they may wait to see the outcome of the FED before moving again, whilst recent data has also not been too bad for New Zealand.
- The eadline figure for German Industrial production fell short of expectations, but judging % growth in October, a downside surprise was the more likely outcome. However there was positive data bured within the headline figure as production in industry (excluding energy and construction) rose 0.7% and production of capital goods up 2.7%.
- Eurex INvestor confidence dipped to 15.7 from 17 previously
- The FED's new labor market conditions index dipped to a two month low of %, ot's second lowest print since May. The index combined 19 seperate labour relaed components yet, despite its sagging output as we approach Fed lift off, continues to go seemingly unnoticed.
- Australia's business confidence and conditions indices enjoyed an upwards thrust due to the 'Turnbull effect' these past two months. Today confirms if his his positove auroa on the sector continues, or the honeymoon period osover.
- Chinese Trade Balance continues to hang around record highs, pushed up by the rising ratio between exports and imports. However both have been declining, with the dwindling import market causing concern for key trade partners such asAustralia and New Zealand. So a further decline in imports could weigh heavily on AUD and NZD crosses today.
Nylon Handover: WTI below $40 and Brent breaks 6-year lows
Oil remains under, with the downfall likely to continue as Greenback strengthens and OPEC continue to pump at near-record levels. NYLON HANDOVER: WTI elow $40 and Brent breaks 6-year low