Dollar Broadly Weaker on 2019 Final Trading Day
Thanks to a weaker US Dollar, both the pound Sterling and the Euro edged higher in light trade in London. Analysts say that FX traders are backing away from the greenback as a safe haven currency. That is generally due to an outlook that likely includes improvement in global growth rates, especially given the impending signing off of the first phase of the trade agreement brokered between China and the United States. The last trading day of the year also seems to be whetting appetite for higher risk currencies, including the Aussie Dollar.
As of 11:36 am in London, the EUR/USD was trading at $1.1222, a gain of 0.2107%; the pair has ranged from a session low of $1.19158 to a peak of $1.12241. The GBP/USD was at $1.3197, up 0.5962%, sliding off of the earlier peak of $1.32006. The AUD/USD was up at $0.7012, a gain of 0.2001% and off the session high of $0.70134.
With a very light docket on the last day of the year for economic data, markets are looking ahead to Thursday's release of global PMI reports on manufacturing. Of the releases, the numbers from China take precedence, with analysts predicting that the Caixin PMI will show a slight decline in the December reading to 51.7 from 51.8. Germany's reading is expected to be flat at 43.4, while the UK PMI is predicted to show a slight rise to 47.6 from 47.4