Afternoon Market Update – 28/11/2016 – by Jaz Singh

Eurozone money supply data was released this morning, coming in lower than expected for the YoY and the previous quarterly reading. The DAX fell by some 100 pips off back of this news, finding support in the 10600 region. In the currency markets the main moves have been in the dollar which continues to retreat from record highs. The dollar index currently trades just below the 101.50 level as investors continue to question the feasibility of “Trumponomics”. US equity futures are currently pointing to a sell off at the cash open, with the S&P500 futures down 0.5 percent as the Trump trade unwinds slightly. Sterling has also sold off in morning trade as the British government faces another legal battle over its ability to leave the single market. Cable has found some support around the 1.24 level with the dollar regaining some its losses from early trade. In the commodity complex we find crude oil ticking higher for the day in a short covering move following the losses seen at the end of last week. ECB President Draghi speaks this afternoon as we hope to gauge the central bank’s plans regarding its asset purchase programme.