President Barack Obama will keep himself busy and soon embark on his first foreign trip after getting re-elected on Tuesday. In his 4-day Asia trip set to start on November 17, President Obama will visit Myanmar, Cambodia, and Thailand, and meet with key leaders of China, Japan, India, Russia, and other Asia-Pacific countries. Obama will become the first sitting US president to visit Myanmar, a nation that’s been under direct military rule for five decades prior last year’s democratic elections.
Meanwhile, acting speaker Athanasios Nakos said Greek lawmakers ratified an austerity bill, consisting of a package of measures in the form of wage, pension, and benefit cuts required for the release of further financial aid. 153 lawmakers approved the bill in the 300-seat Greek Parliament yesterday.
Yesterday’s key economic releases met the market’s expectations. ECB and BOE decided to leave their rates unchanged. Meanwhile, Canada and US Trade Balance data, as well as the US Unemployment Claims, all came in better than expected.
In a typical fashion, Friday is light in terms of economic data releases. Earlier, China CPI came in at 1.7 percent, compared to analysts’ expectation of 1.9 percent. China Industrial Production and Retail Sales data were slightly better than expected, coming in at 9.6 percent and 14.5 percent, respectively. UK Trade Balance came in better than forecast; however, last month’s data has been revised to the downside.
Later, the market will focus on the preliminary data release of the University of Michigan Consumer Sentiment. Investors will pay particular attention on whether it will be able to sustain its momentum of consecutive monthly gains and if it will remain above the 80-mark.
Gold closed higher for the fourth straight day yesterday, and is poised to rise further today. If it does, it will be gold’s best weekly performance since the start of this year, with gains of around 3.5 percent printed so far. Price action staying above $1700 is favorable for traders that are long in the yellow metal.
After the heightened volatility in the middle of the week, oil has fluctuated in a tight range around $85 since yesterday. Price is currently sitting below this level and is set to visit the $77 to $80 range if price action does not generate a substantial effort to move to the upside.