Afternoon Market Update – 29/11/2016 – by Jaz Singh

Eurozone data this morning came in weaker than expected as markets focus on the Italian referendum this weekend. As expected the Euro sold off once this news hit the wires, however the move against the dollar was muted as the greenback continues its declines from the past few days. This is seen predominantly as a month end profit taking move as a December rate hike remains near enough a certainty. Sterling has been strong across the board targeting 1.25 on cable while the Canadian dollar weakens off the back of a fall in crude prices. This comes after Iraq and Iran could not agree on the share of output cuts and with Russia saying it will not be attending the OPEC meeting tomorrow. WTI is trading near the $46 handle after gaining over 2 percent during yesterday’s session. In the equity space we find the FTSE 100 declining off the back of strength in sterling while the other major European bourses are in the green. This afternoon we have German CPI and US GDP as the main data highlights.