Collinson FX: December 3 - Australian GDP jumps more than expected

by Collinson FX 3 Dec 2020 05:15 PST 19 November 2020

Northerner - Mahurangi Regatta - Classic yachts - January 2020 - Mauhrangi Harbour © Richard Gladwell / Sail-World.com

Collinson FX: December 3 - Australian GDP jumps more than expected

The UK FTSE was the only major bourse in Europe to rally overnight, boosted by the approval for release of the Pfizer-BioNtech vaccine, next week. The EU/UK post-Brexit trade deal negotiations continue to drag on, damaging both sides, with a compromise likely. The extent of the trade-offs will determine the value of any final settlement and this will not be known until details are released. The Dollar continues to decline, with the EUR hitting 1.2100, while the GBP traded up to 1.3360, supported by vaccine news.

Australian GDP jumped more than expected, 3.3% for the quarter and reduced the annualised contraction to 3.8%. This is a strong number, which could have been so much better, had not the second City of Melbourne been shut unnecessarily. The US added 307,000 private sector jobs, according to the ADP Jobs report, which missed expectations, while another fiscal stimulus was shot down in the Senate. The Fed Chairman Powell warned of ‘extraordinary uncertainty’ in the US and global economic outlooks.

Markets continue to ebb and flow as we head into the holiday season. Economic conditions are still threatened by the political restrictions imposed to combat the virus. Equities have been supported by a massive and unprecedented amount of monetary stimulus and vaccine prospects. Political power wielded by Governments, enabled by the virus across the West, are trumping economic activity and will be reflected in economic data.

Catch the new look Collinson FX website at www.collinsonco.com

Disclaimer: The details expressed in this website and accompanying documents or transmissions are for information purposes only and are not intended as a solicitation for funds or a recommendation to trade. Collinson Forex Ltd accepts no liability whatsoever for any loss or damages suffered through any act or omission taken as a result of reading or interpreting any of the information contained or related to this site

Countries: | NZ: 0800 338 838 | AU: 1800 143 415 | NY: 1888 6257 833 | UK: 0800 0285 834 |

Related Articles
Collinson FX: June 25: Markets react postively
President Trump announced a ceasefire, between Israel and Iran overnight, setting markets alight. Equities across the globe surged higher, while oil prices and the US Dollar, tumbled. Reports of a break in the ceasefire have been flying, but it appears a ceasefire has been reached, with a view to peace negotiations. Posted on 25 Jun Collinson FX: June 18: Markets tumble again
Markets tumbled again overnight, with the Israeli war on Iran, totally pre-occupying markets. Markets tumbled again overnight, with the Israeli war on Iran, totally pre-occupying markets. The war rages on, with devastating air attacks launched and received, from both sides. Posted on 18 Jun Collinson FX: June 13: Xi bounces agreement
Xi bounces trade agreement that was a great deal for USA but very unfavourable to China. Reservations remain over the latest rendition of the US/China Trade Agreement. Trump announced it was a ‘done deal' and that China would pay tariffs of 55%, while the US would pay only 10%. This was not signed off in by President Xi. Posted on 14 Jun Collinson FX: June 6: EU cuts rates
President Trump held an important phone conversation with Chinese President Xi. Trade wars were the market focus, once again overnight, as President Trump held an important phone conversation with Chinese President Xi. Posted on 6 Jun Collinson FX: May 30: Trump in Court battles
Markets were shaken by the latest court order (latter upset on Appeal), in the USA. Markets were shaken by the latest court order (latter upset on Appeal), in the USA, by the US Court of International Trade. This effectively halted the Trump tariffs and was a boost to many Countries, that do not have a trade agreement with the USA Posted on 29 May Collinson FX May 26: Trump Tariff movie hits EU
Trump's "Art of the Deal" trade wars movie gets released in Europe with a 50% opener on Sunday. Market sentiment turned negative, over the weekend, following the announcement of tariffs on the EU. President Trump announced a 50% tariff on all EU products, commencing 1st of June Posted on 26 May Collinson FX May 22: USD down, others rise
The US Dollar weakness is a result of concerns surrounding the US economy and US growth. The EUR topped 1.1300, while the GBP broke back above 1.3400. The US Dollar weakness is a result of concerns surrounding the US economy and US growth. Moody's downgraded the US credit rating and economic data has been weak. Posted on 22 May Collinson FX May 16: Tariffs depress inflation
Markets began to trade according to economic data releases, rather than fears held over global trade The latest US PPI was softer than expected, joining the last CPI inflation reading, confirming the tariffs have not raised inflation, but in fact the opposite. Posted on 16 May Collinson FX May 12: US/China trade progress
The US Treasury Secretary meets, this coming weekend in Switzerland, with China. The US Treasury Secretary meets, this coming weekend in Switzerland, with China. This is the key trade agreement and progress is expected. Posted on 11 May Collinson FX May 5: US markets rally strongly
Markets brush off a shock headline US GDP number, May opens on a strong note Markets in the US rallied strongly to close out a week of strong gains, brushing off a shock headline US GDP number. US equities rallied into the close for the week, opening the month of May on a positive note. Posted on 5 May