Forex Today: AUD steals the show in Asia, US data, Fed’s Fischer eyed

Amid a fairly light Asian calendar today, the Antipodeans stole the show, particularly the Aussie, staging a solid comeback from a dip below 0.76 handle. While the yen also garnered some strength amid slightly risk-averse market conditions and broad based US dollar correction.

Focus now shifts towards the European calendar, with a couple of second-liner data from the German economy, while the US docket offers consumer sentiment and FOMC member Fischer’s speech.

Main topics in Asia

RBA’s Debelle made no comments on monetary policy, US elections

The Reserve Bank of Australia (RBA) assistant governor Debelle was on the wires last minutes, speaking on the global code of conduct for the foreign exchange market in a scheduled panel discussion at the Financial Services Institute of Australasia's (FINSIA) The Regulators, in Melbourne.

Mexican Peso ignores rate hike talk, hovers around record lows

Speculation that the central bank of Mexico could hike rates by 200 basis points is failing to lift the Mexican Peso, leaving it in its most vulnerable state around the record lows against the US dollar.

PBOC weakens Yuan beyond landmark 6.8 level

The People's Bank of China (PBOC) fixed the yuan at 6.8115 to the greenback, down 0.34% from Thursday's fixing, marking the lowest level since Sept 2010 on Friday.

Unprecedented Iron ore rally continues

Iron ore 62% Fe CFR surged another 4.4% to $74.12 per tonne on Thursday, which is the largest single day gain since October 25. 

Key focus for the day ahead

EUR/USD testing highs near 1.0920 handle ahead of Europe open

EUR/USD is seen clinging onto gains above 1.09 handle as we step into early Europe, with the greenback consolidating strong gains seen over the last two consecutive trading days.

UK: Spotlight on the US result – Deutsche Bank

Jack Di-Lizia, Strategist at Deutsche Bank, suggests that the US election result will dominate as a near term driver and the UK is likely to take its lead from US markets.

T-Note future: Emergence of a downside bubble on the daily chart - Natixis

Micaella Feldstein, Research Analyst at Natixis, suggests that the increase in the daily volatility and the sell signals on the daily indicators suggest the emergence of a downside bubble on the daily chart of T-note futures.

US Elections: After the dust settles – ANZ

Research Team at ANZ, suggests that the price action in the past 48 hours reinforces how important fiscal policy and Governments are going to be going forward.

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