Macro Roundup (Nov 13)

SHANGHAI, Nov 13 (SMM) – This is a roundup of global macroeconomic news last night and what is expected today.

Last night

The US dollar closed at 97.56, a 16-month high against a basket of currencies as investors built bets on an increase in interest rates next month, and aspolitical risks in Europe weighed on the euro and the pound. Brexit deal concerns and a growing rift in Europe over Italy's budget also buoyed the dollar.

Amid fresh uncertainty over Brexit deal, the pound slipped under $1.29 during overnight Asian trading and extended its decline later as London opened, taking the currency close to $1.28 and about 1% lower on the day.

"While some European officials are still sounding optimistic that an EC-UK deal can be struck in the coming weeks, the market has grown more sceptical," said Marc Chandler, chief market strategist at Bannockburn Global Forex, a capitals market trading firm based in the US.

Base metals dipped for the most part as LME lead led the losses and closed 2.36% lower. LME aluminium lost 0.92%, nickel fell 0.61%, zinc dipped 0.32%, while copper and tin inched up. SHFE tin jumped 1.23%, zinc rose 0.31%, lead went flat, while aluminium dropped 0.76%, copper and nickel edged down. 

Day ahead

Key economic data to watch today include Germany’s consumer price index (CPI) for October, as well as November’s ZEW economic sentiment index for the eurozone and Germany.