[B]Market Review[/B] - 27/11/2013 [I]21:11GMT [/I]
[B]Euro rises to fresh 3-week high at 1.3613 before retreating on profit-taking
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The single currency rose from session low at 1.3558 to 1.3600 in Asian morning on Wednesday, however, profit-taking pressured price to 1.3573 before rallying to an intra-day high at 1.3613 in European morning but euro retreated again in NY n fell to a low at 1.3559 before stabilizing.
Versus the Japanese yen, the greenback ratcheted higher in Asia and Europe due to active cross selling in Japanese yen. U.S. dollar rose to 101.90 n then 102.20 in New York morning after the release of unexpected drop in U.S. jobless claims, adding speculations that the Federal Reserve may start reducing stimulus next month. U.S. jobless claims fell to 316K from 323K previously.
Although the British pound traded sideways in Asian session, price rallied after a government report confirmed Britain’s economic growth accelerated in the third quarter. UK GDP q/q and y/y for Q3 came in as expected at 0.8% n 1.5% respectively. Cable climbed above October’s peak at 1.6260 to session high at 1.6331 in New York morning before retreating strongly to 1.6258.
On the data front, Germany Gfk consumer confidence in December came in at 7.4, better than the forecast of 7.1. France consumer confidence in November came in at 84, weaker than the forecast of 85.
In other news, Bank of England’s policy maker Ian Mccafferty says ‘Economy picking up, led by domestic factors; rates won’t rise any time in near future; U.K export markets only growing slowly; 7% is threshold to take stock of economy; MPC sensitive to impact of rate changes.’
[B]Data to be release on Thursday: [/B]
New Zealand ANZ Business confidence, Japan retail sales, Swiss GDP, U.K. Lloyds business barometer, EU Business climate, economic sentiment, consumer confidence, Germany HICP, CPI, unemployment change unemployment rate, Canada PPI. U.S. financial market is closed due to Thanksgiving Day holiday.