Wall Street creeps to record levels
News that top negotiators had been in phone contact and were close to sealing the Phase 1 trade deal lifted US indices marginally to fresh record highs. UK Conservative Party lead narrows in latest polls. RBA’s Lowe rules out QE for now.
US30USD Daily Chart
The US30 index advanced for a third straight day yesterday, reaching a fresh record high. It has opened flat this morning
The 55-day moving average has risen to 27,144 while trendline support could be found near the 27,240 level
The US economy is expected to maintain its expansion rate of 1.9% annualized in Q3, the latest survey of economists shows. Other data releases today include personal income/spending and durable goods orders for October along with pending home sales.
DE30EUR Daily Chart
The Germany30 index closed lower yesterday for the first time in four days but has rebounded in early trading this morning
The 55-day moving average has risen to 12,719. The 23.6% Fibonacci retracement of the rally from October 3 to November 12 is at 12,960
There’s not much on the data slate today apart from German import prices for October (expected down 0.2% m/m) and a speech from ECB’s Lane.
XAU/USD Daily Chart
Gold prices have been under pressure recently as we (hopefully) near the conclusion of a Phase 1 US-China trade deal. Gold rose yesterday for the first time in five days as the US dollar weakened
Gold has been trading within a downtrend channel since September 4. The 100-day moving average is at 1,483.96
The US Treasury confirmed yesterday that a phone call took place between negotiators Lighthizer and Liu He where they reached consensus on solving issues in the Phase 1 agreement. There has been no confirmation yet from China.
