APAC Morning Update - 2 Dec 2020

The AUDUSD opens at 0.7364 and the NZDUSD opens at 0.7059 this morning.

Xe Corporate APAC

December 2, 20202 min read

The Aussie peeped above 0.7400, but could not hold onto its gains. It is still hanging in there, but looking a lot less convincing than the unstoppable Kiwi which continues to climb inexorably.

In the US, stimulus talks are back on, so lets all enjoy a few more months of "will they/won't they?" Biden does seems keen though, and it seems that it’s probably the political path of least resistance to get something done for both sides. In the short term, stimulus is risk on, but in the medium term a good deal could help stem some of this US weakness.

In the UK, and Europe for that matter, hopes are high that Brexit talks have entered the tunnel. Not quite a metaphor we’ve heard before, but one can only hope there is daylight at the end of this. Apparently hopes are for a deal by the end for the week. More positive headlines like this should see the Pound strengthen into the end of the week.

Global equity are off: Dow +1.0%, S&P 500 +1.4%, FTSE +1.9%, DAX +0.7%, CAC +1.1%, Nikkei +1.3%, Shanghai +1.8%.

Gold prices are up 1.9%, currently trading at $1,815 an ounce. WTI Crude Oil prices are also off -0.8% trading at $44.5 a barrel.