Big night for markets as ADP Non-Farms & US Prelim GDP figures released
A busy night for markets as data comes into focus, particularly from the US.
The Dow Jones fought back after some initial losses to finish slightly up and the end of the trading session. Early fears that the North Korean crisis was going to get out of hand subsided somewhat as further details came out about the missile launch, while the strong language used by world leaders seem to have calmed markets. European markets were mainly down overnight due to the same reasons, with the DAX being one of the worst performers.
The Euro smashed through the $1.20 mark throughout the night as traders seem to be riding a wave of confidence in the currency, although it retreated back off its highs later in the night. The US figures being released tonight may cause the EUR/USD to fluctuate as markets look to see some strong economic data from the US.
Gold surged early yesterday to nine and a half month highs amid the North Korean tensions, but has since eased back slightly as traders return to equities.
On the announcement front, the most significant data is emanating from the US. This is headlined by the ADP Non-Farm Employment Change & Prelim GDP figures, which have the ability to move markets, given their importance the US economy. Other data set for publication includes: Building Approvals & Construction Work data from Australia, Swiss UBS Consumption Indicator, KOF Economic Barometer & Credit Suisse Economic Expectations, German Prelim CPI, Spanish Flash CPI, UK Net Lending to Individuals, M4 Money Supply & Mortgage Approvals and Canadian Current Account. Finally, the US is also releasing Prelim GDP Price Index & Crude Oil Inventories data, while Fed Reserve Member Jerome Powell is due to speak.