{"id":159383,"date":"2019-11-08T10:15:55","date_gmt":"2019-11-08T15:15:55","guid":{"rendered":"https:\/\/www.countingpips.com\/?p=159383"},"modified":"2019-11-08T09:54:16","modified_gmt":"2019-11-08T14:54:16","slug":"boe-cuts-growth-inflation-forecasts","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2019\/11\/boe-cuts-growth-inflation-forecasts\/","title":{"rendered":"BOE Cuts Growth & Inflation Forecasts"},"content":{"rendered":"
November 8, 2019<\/div>
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By <\/strong>Orbex<\/strong><\/a><\/p>\n

USD Ends The Week Higher<\/strong><\/h2>\n

The US dollar has continued higher over the final trading day of the week leaving the USD index to finish the week in the green. Better US data earlier in the week has seen reduced easing expectations for December, keeping USD supported here.\u00a0Speaking yesterday, Fed\u2019s Evans said he feels the US economy is in a good place following the October cut. This is reinforcing the view that the Fed will remain on hold over the remainder of the year. \u00a0USD index trades 98.07 last.<\/strong><\/p>\n

EUR Down Again<\/strong><\/h2>\n

EURUSD is lower again over the European morning so far today, with price fighting to hold above the week\u2019s lows.\u00a0A dismal set of EU economic projections yesterday highlights the issues facing the single market economy and supports the view that the ECB will be forced to ease further in the coming months.<\/strong>\u00a0EURUSD trades 1.1040 last.<\/p>\n

GBP Lower On BOE<\/strong><\/h2>\n

GBPUSD has had a quiet session today with price remaining very constrained around the 1.2810 mark.\u00a0Yesterday, the BOE kept rates on hold as expected, though with two members voting in favor of a cut, the meeting was notably more dovish than last time around.<\/strong>\u00a0This is the first time that BOE policymakers have voted in favor of a cut since 2016. The dovish message was further emphasized by a lowered set of growth and inflation projections which the BOE attributed to Brexit uncertainty.<\/p>\n

Risk Sentiment Weaker on Friday<\/strong><\/h2>\n

Risk assets have been a little softer today in light of the USD rally.\u00a0The SPX500 pushed further into new record highs over the week though momentum has paused for now on the back of stronger US data<\/strong>. With expectations of a US\/China trade deal intact, however, the outlook remains bullish. SPX500 trades 3083.68 last.<\/p>\n

Gold Lower, JPY Higher<\/strong><\/h2>\n

Safe havens have had a mixed session so far today with\u00a0gold lower against USD<\/a>\u00a0while JPY trades higher.<\/strong>\u00a0Reduced US rate cut expectations are keeping gold pressured while a softer tone to equities is diverting flows back into JPY.<\/strong>\u00a0USDJPY trades 109.33 last, sitting just off the week\u2019s highs. XAUUSD trades 1466.78 last having broken back below the key 1481.93 support level which had been underpinning price action over the last three months.<\/p>

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Crude Crumbles on USD Rally<\/strong><\/h2>\n

Oil has been weaker today on the back of the USD strength seen over recent days.\u00a0On Wednesday, the EIA reported a\u00a0large surplus in US crude inventories<\/a>. This came a day after OPEC released its latest World Oil Outlook in which it heavily cut its demand forecasts over the near, medium and long term.<\/strong>\u00a0However, while the US\/China trade deal remains in focus, crude is likely to find support. Crude trades 56.29 last.<\/p>\n

Loonie Makes Lift-Off<\/strong><\/h2>\n

USDCAD has been higher today as a result of a stronger US dollar and a weaker Canadian dollar.\u00a0Looking ahead to today\u2019s US session we have the final tier one data of the week with the Canadian Unemployment rate due, expected to remain unchanged at 5.5%.<\/strong>\u00a0USDCAD is challenging the 1.3207 level once again as of writing.<\/p>\n

AUD Lower Following RBA SoMP<\/strong><\/h2>\n

AUDUSD has been lower today, extending yesterday\u2019s losses as the USD rally gathers pace. AUDUSD trades .6867 last, challenging the week\u2019s lows.\u00a0In its Statement on Monetary Policy (SoMP) released overnight the RBA downgraded its growth forecasts and noted that it is prepared to ease policy further if necessary.<\/strong><\/p>\n

By <\/strong>Orbex<\/strong><\/a><\/p>\n

 <\/p>\n","protected":false},"excerpt":{"rendered":"

By Orbex USD Ends The Week Higher The US dollar has continued higher over the final trading day of the week leaving the USD index to finish the week in the green. Better US data earlier in the week has seen reduced easing expectations for December, keeping USD supported here.\u00a0Speaking yesterday, Fed\u2019s Evans said he […]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-159383","post","type-post","status-publish","format-standard","hentry","no-post-thumbnail"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/159383","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/comments?post=159383"}],"version-history":[{"count":2,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/159383\/revisions"}],"predecessor-version":[{"id":159394,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/159383\/revisions\/159394"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/media?parent=159383"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/categories?post=159383"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/tags?post=159383"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}