Support
BoC and ECB start rate cut series
Interest rate cuts by the Bank of Canada and the European Central Bank boosts optimism about looser monetary policy
The ECB cut rates for the first time since September 2019, lowering the deposit rate by 25 basis points. Lagarde highlighted no pre-commitment to a particular rate path.
The EUR/USD nudged higher to 1.0896 overnight, while the dollar steadied near 104.05.
Oil prices rose after OPEC+ members reassured markets, despite being on track for a third consecutive weekly loss.
In currencies
Asian markets traded lower after a choppy session in Wall Street.
The ECB cut rates for the first time since September 2019, lowering the deposit rate by 25 basis points. And during the press conference, Lagarde highlighted that they are not pre-committed to a particular rate path.
The EUR/USD nudged higher to 1.0896 overnight and the dollar steadied near 104.05.
Bank of Canada had also cut rates earlier this week to 4.75%, the first of the G7 nations to start easing.
The central bank lowered interest rates to 4.75% from 5%, marking the first reduction in four years. This widely anticipated move aims to relieve pressure on deeply indebted consumers.
In Commodities
Oil prices started to see more upside after OPEC+ members Saudi Arabia and Russia reassured markets of plans to pause or reverse output agreements, However, markets were still on track for their third consecutive weekly loss.
OPEC+ including Russia, agreed to extend most production cuts into 2025, while allowing for the gradual unwinding of voluntary cuts from eight members.
Brent was back above the $80 handle and WTI hovered close to $75.20.
Gold prices extended gains rising to $2,387 already up by almost 2.6% this week, and as investors waited for key readings of the non-farm employment change data which is expected to nudge higher to 182K from 175K previous.
