Afternoon Market Update – 02/11/2016 – by Jaz Singh

The RBNZ published inflation expectations overnight which remain unchanged. NZD has continued its gains following this announcement, targeting 0.73 against the greenback. The Euro extends its gains from yesterday off the back of positive PMI data in the Eurozone. We’ve also had unemployment data from Germany, again better than expected. Dollar has extended its losses this morning, along with the Mexican peso, as the Presidential polls show the gap tightening between the two candidates. There’s been a slight relief for these losses in recent trade as the latest ABC/Washington Post poll shows Trump and Clinton tied. Similar respite can be seen in the major equity indices which also reacted negatively to the poll results yesterday. Gold has risen 0.6 percent today, with yields on bunds dropping to 0.12 percent as investors look to safe haven assets in the lead up to the US election. Oil continues to sell off, looking to four days of consecutive declines as data shows American inventories increased by over 9 million barrels last week.