NFP week starts with the gains in the Japanese Yen.
28 November 2022
Welcome to the NFP week, which has a much busier calendar than the week that just ended. European session just started and we already can see some nice moves on the market, which should have an impact on the trading decisions further down the line.
Monday already started negatively for the Australian Dollar. First of all, we had some dovish comments from the RBA Governor Lowe but we also received the retail sales data, which surprisingly came not only worse than expected but also in the negative territory (-0.2% vs 0.5%). The Australian Dollar weakens across the board.
Indices started this week slightly lower but remember that DAX managed to climb higher for the eighth consecutive week! Correction of any kind is expected and will not change the overall bullish sentiment on the market. If traders will look for a reason to sell, they may look at China, where some worrying things are happening on the streets. We have massive anti-Covid protests, which in some places have unseen magnitude and some of them are turning ugly.
This is probably dragging Oil lower right now (-2.5%) as that means lower demand for this commodity from the second largest consumer in the world. Monday starts here with a huge drop with both Brent and WTI dropping to new, long-term lows. We are just a few more steps from the yearly lows, which were made in January.
On the Forex market, we have significant moves on Yen, which currently strengthens across the board. USDJPY is down 0.6%, EURJPY is down -0.87% and GBPJPY is trading lower -0.82%. From the major pairs, the biggest gains can be seen on the USDCAD, which is currently up 0.6%.