The safe haven Japanese Yen underperformed and could extend losses today. The British Pound outperformed on rising Brexit optimism.US stock indexes are on the rise with energy shares rallying hard amid a rotation trade out of tech stocks.
News that Oxford-AstraZeneca’s vaccine was found to be 70% effective boosted the marker mood. As did president-elect Joe Biden’s pick for the Treasury Secretary, former Federal Reserve Chair Janet Yellen. She is considered market-friendly and likely to cooperate closely with current Chair Jerome Powell.
GBP/ USD closed at a 2 month high on Monday. This Pound is on the brink of testing 1.3396 – 1.3515 resistance zone from late 2019. A bullish ‘Golden Cross’ is supportive after the 20-day Simple Moving Average (SMA) crossed above the 50-day one in late October.
Tuesday’s Asia Pacific Trading Session
The General Services Administration (GSA) effectively confirmed Joe Biden as the winner of the US Presidential elections. This is reducing US political uncertainty. S&P 500 futures point higher.
The economic calendar is relatively bare in the Asian session. The risk sensitive Australian Dollar will look to a speech from Reserve Bank of Australia’s Deputy Governor Guy Debelle. Sentiment, however, could be a bigger driver.
USD/JPY advanced back over 104 – 104.19 inflection zone on Monday Immediate support sits below around 103.65.
Currencylive.com is a news site only and not a currency trading platform. Currencylive.com is a site operated by Wise US Inc ("We", "Us"), a Delaware Corporation. We do not guarantee that the website will operate in an uninterrupted or error-free manner or is free of viruses or other harmful components. The content on our site is provided for general information only and is not intended as an exhaustive treatment of its subject. We expressly disclaim any contractual or fiduciary relationship with you on the basis of the content of our site, any you may not rely thereon for any purpose. You should consult with qualified professionals or specialists before taking, or refraining from, any action on the basis of the content on our site. Although we make reasonable efforts to update the information on our site, we make no representations, warranties or guarantees, whether express or implied, that the content on our site is accurate, complete or up to date, and DISCLAIM ANY IMPLIED WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE. Some of the content posted on this site has been commissioned by Us, but is the work of independent contractors. These contractors are not employees, workers, agents or partners of Wise and they do not hold themselves out as one. The information and content posted by these independent contractors have not been verified or approved by Us. The views expressed by these independent contractors on currencylive.com do not represent our views.