Market Roundup
• Canada Wholesale Sales (MoM) (Sep) 0.0%, -1.2% previous
• French 12-Month BTF Auction 2.053%, 2.020% previous
• French 3-Month BTF Auction 2.011% ,1.987% previous
• French 6-Month BTF Auction 2.015% ,2.015% previous
• US Dallas Fed Mfg Business Index (Oct) -5,m-8.7 previous
Looking Ahead Economic Data (GMT)
• No Events Ahead
Looking Ahead Events and Other Releases(GMT)
•No Events Ahead
Currency Summaries
EUR/USD : The euro strengthened against the dollar on Monday after data showed an improvement in German business sentiment. The Ifo business climate index rose to 88.4 in October from 87.7 in September, signaling a slight recovery in confidence despite ongoing trade challenges. Germany’s economy has struggled to regain momentum, contracting 0.3% in the second quarter as weaker U.S. demand and tariff concerns weighed on exports. Meanwhile, the European Central Bank is expected to keep interest rates unchanged at its meeting this week. Immediate resistance can be seen at 1.1662(50%fib), an upside break can trigger rise towards 1.1728(Oct 17th high).On the downside, immediate support is seen at 1.1561(61.8%fib), a break below could take the pair towards 1.1523(Lower BB).
GBP/USD: Sterling edged higher against the dollar on Monday as investors stayed cautious ahead of a week packed with central bank decisions. Softer UK inflation data last week boosted expectations of Bank of England rate cuts, pushing 2-year gilt yields down 7.5 bps before a slight rebound late in the week. Yields were steady at 3.80% on Monday, with markets now pricing a 67% chance of a BoE rate cut by year-end and fully expecting two cuts by June 2026.The pound was up 0.20% to $1.3345 , snapping a five-session losing streak. Meanwhile,investors have priced in that British finance minister Rachel Reeves will raise tens of billions of pounds in taxes in her budget on November 26 to stay on track to meet her fiscal targets and avoid a loss of confidence in the bond market. Immediate resistance can be seen at 1.3362 (50%fib), an upside break can trigger rise towards 1.3393(SMA 20).On the downside, immediate support is seen at 1.3261(38.2%fib), a break below could take the pair towards 1.3246(23.6%fib).
USD/CAD: The Canadian dollar was little changed against the U.S. dollar on Monday as investors shrugged off the threat of new U.S. tariffs and focused on this week’s Bank of Canada policy decision. U.S. President Donald Trump said on Saturday he would raise tariffs on Canadian goods by an additional 10% in response to an ad from Ontario province. Economists expect the Bank of Canada to cut interest rates further on Wednesday amid rising unemployment and slowing economic growth. The central bank last month reduced its benchmark rate to a three-year low of 2.50%. Preliminary data also showed Canadian wholesale trade was flat in September compared with August. Immediate resistance can be seen at 1.4000(Psychological level), an upside break can trigger rise towards 1.4030(Oct 24th high).On the downside, immediate support is seen at 1.3968(38.2%fib), a break below could take the pair towards 1.3923(Lower BB).
USD/JPY: The U.S. dollar initially gained but later eased as investors turned cautious ahead of a series of major central bank meetings this week. Markets will focus on policy decisions from the Federal Reserve, Bank of Japan, Bank of Canada, and European Central Bank. The Fed is expected to cut rates by 25 bps following softer September inflation, though uncertainty over the government shutdown’s data impact persists. The Bank of Japan, meanwhile, is likely to keep rates unchanged while weighing future hikes amid easing recession fears and political constraints. Immediate resistance can be seen at 153.27(23.6%fib) an upside break can trigger rise towards 154.00 (Psychological level) .On the downside, immediate support is seen at 151.58 (38.2%fib) a break below could take the pair towards 151.00 (Psychological level).
Equities Recap
European shares closed at record highs for a third straight session as easing Sino-U.S. trade tensions lifted global risk appetite, though losses in healthcare stocks capped overall gains.
UK's benchmark FTSE 100 closed up by 0.19 percent, Germany's Dax ended up by 0.18 percent, France’s CAC finished the day up by 0.16 percent.
Wall Street’s main indexes closed at record highs for a second straight session on Monday, supported by optimism over a potential U.S.-China trade deal and anticipation of major tech earnings and an expected Federal Reserve rate cut later this week.
Dow Jones closed up by 0.71 percent, S&P 500 ended up by 1.23 percent, Nasdaq finished the day by 1.88 percent.
Commodities Recap
Gold prices fell below $4,000 per ounce on Monday as easing U.S.-China trade tensions weakened demand for the safe-haven metal, while investors awaited the Federal Reserve’s interest rate decision later this week.
Spot gold was down 2.7% at $4,002.29 per ounce at 1:45 p.m. ET (1745 GMT). Prices fell to $3,970.81 per ounce earlier in the session, their lowest since October 10.
Oil prices settled slightly lower on Monday as OPEC’s plans to boost output outweighed optimism over a potential U.S.-China trade deal framework and renewed U.S. sanctions on Russia.
Brent crude futures slipped 32 cents, or 0.5%, to $65.62 a barrel, while U.S. West Texas Intermediate futures fell 19 cents, or 0.3%, to settle at $61.31. Both benchmarks were down about 1% earlier in the session.
