Currency Market Analysis

Nov 16, 2020 | Currency Market Analysis

Global Themes

USD slumps as equities near all-time highs; RCEP boosts

The US dollar was weaker on Friday with global equity markets ending the week highs.

The US’s Dow Jones gained 1.4% after a solid fortnight of gains driven by president-elect Joe Biden’s election win and news of a potential vaccine of COVID-19.

The SGD was lifted by the positive end to the week.

RCEP boost

The USDSGD fell 0.3% on Friday.

The pair fell further as regional currencies outperformed thanks to the announcement of the Regional Comprehensive Economic Partnership between 15 countries including China, Japan, Singapore and Australia.

The US dollar weakness saw both the euro and Japanese yen higher.

China numbers

Today’s focus is on Chinese industrial production and retail sales numbers due at 10.00am.

US retail sales figures are due Tuesday night.

The AUD will be watched with the Reserve Bank of Australia minutes due on Tuesday and two major speeches from RBA governor Philip Lowe also expected.

Philip Lowe speaks at 4.40pm tonight.

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