The US$ remains under pressure heading into the weekend, with the Euro remaining underpinned after a strong series of EU PMI readings, with the EU PMI manufacturing rising to 60.0 in November, up from 58.5 and above expectation of 58.2. The EU PMI services rose to 56.2, up from 55.0, above expectation of 55.2 while the German PMI manufacturing rose to 62.5, up from 60.6 and above expectation of 60.3. Germany PMI services rose slightly to 54.9, up from 54.7, missed expectation of 55.0. France PMI manufacturing rose to 57.5, up from 56.1, beat expectation of 55.9. France PMI services rose to 60.2, up from 57.3 and beat expectation of 57.0. The other markets have been pretty quiet due to the US holiday with the exception of WTI, which again made gains to new 2 year highs. A draft agenda for the OPEC meeting on November 30 in Vienna has been given just a three hour time frame for oil ministers to decide whether to extend their oil supply curbs, indicating that the decision-making process is expected to run smoothly.
The quiet conditions may well continue on Friday with just the Japan Nikkei Mfg PMI and the German IFO Business Climate/Expectations to excite traders today, along with a couple of ECB speakers (Constancio/Coeure). The US PMIs will also be released although traders will mostly be occupied elsewhere and liquidity/interest will be very thin. Note that UK PM, Theresa May will be in Brussels today, and Sterling traders will look to see if any solid divorce plan is likely, with the possibility of the UK raising the amount of funds it is prepared to pay as re-compensation for the separation. The NZ Trade Balance is coming up shortly and may create some waves for the Kiwi (exp -$750 mio). Have a good weekend.
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