UK Autumn Forecast Statement, FOMC Minutes eyed

November 22, 2017

Plenty of information set for release today, with potential for market volatility.

The EUR/USD saw some small fluctuations in price throughout the night. It reached heights of $1.17575, before dropping as low as $1.17123. It has since regained some of that ground and is currently trading at $1.17357. The GBP/USD pair climbed as high as $1.32671, the fell to as low as $1.32084. It has strengthened since hitting those lows, currently trading at $1.32411.

US stocks went off to the races overnight, the Dow going from a session low of 23,405.01, to get within striking distance of all-time highs. The Dow reached as high as 23,613.91 before retracing some of those gains. It is presently trading at 23,577.50. The NASDAQ added over 65 points, going from a low of 6,307.73 to reach a high of 6,380.75. It is currently sitting at 6,375.10. The S&P 500 had a solid outing as well, going from a low of 2,580.00 to reach a high of 2,601.61. It is currently trading at 2,597.02. European stocks enjoyed a similar session, the Dax soaring more than 150 points. It hit a height of 13,208.64, before retracing to its current level of 13,173.11. The FTSE added over 50 points to be currently trading at 7,408.60.

Gold added a few dollars overnight as equities took centre stage. The precious metal is now trading at $1,281.09.

Turning to the events of today and two in particular stand out and will likely cause some market volatility. The first is the Autumn Forecast Statement from the UK. This is released by treasury on an annual basis and the document provides an updated economic outlook and previews the government’s budget for the coming year. The other significant event is the release of the US FOMC Meeting Minutes. This gives a more detailed account of the Fed Reserve’s last interest rate meeting. Other data set for release today includes:

Australia – MI Leading Index, Construction Work Done

Europe – European Consumer Confidence

US – Revised UoM Consumer Sentiment & Inflation Expectations, Durable & Core Durable Goods Orders, Unemployment Claims, Crude Oil Inventories, Natural Gas Storage