Investors Are On Risk Aversion - 13.11.2012
Tuesday morning trading session results turned out expectedly negative. Another downfall was observed in Asian trading: Nikkei 225 Tokyo index declined to 4-weeks low, Shanghai Hang Seng is also down. The downfall is also seen in the commodity markets. The EUR rate keeps falling in the currency market, not only against the US dollar but also against the Yen and even the British pound. The EURUSD pair refreshed its 2-months low today, lowering to 1.2672, EURJPY fell to 100.41, the lowest level of the month. On the other hand, US dollar looks confident, being achieved 81.2, the highest level since September 6th (see the chart). The negative background will be probably prevailing on European session as well.
US dollar, daily chart
Yesterday meeting of European ministers was topped with decision of additional 2-years term for Greece in order to stabilize its budget policy. Athens should now reach the budget surplus at 4.5% in 2016. However, the next financial aid tranche decision was not made - the Eurogroup will meet on November 20th for this purpose. Out of important events of the day, the upcoming UK inflation data release, as well as German Business Sentiment index can be remarkable.