In forex market, actions were largely subdued as traders continue to ponder the implications of US Fed’s monetary policy and the ongoing Brexit drama. Brexit continues to remain a key issue affecting risk flows through the major markets.
U.S. home builder sentiment recorded its steepest one-month drop in over 4 and a half years in November. This was due to rising mortgage rates and tight home inventory which squeezed the real estate sector.
Closer to home, the latest Meeting Minutes from the Reserve Bank of Australia came out today. Members noted that the average real earnings had not increased for six years, remaining a key uncertainty. But on the good note, growth is expected to be supported by accommodative monetary policy stance, stronger terms of trade while employment is stronger than expected.
Meanwhile, trade protectionism remained a significant risk to the global economy.