Aussie dollar continues to trade above 65 US cents

Key Movers

The Greenback closed the week down on Friday with the DXY index, which measures the value of the US Dollar versus a basket of global currencies, declining toward 103.45 on the back of mixed S&P PMIs and dovish bets on the Fed. In November, the S&P Global Composite PMI remained stable at 50.7, signaling slight growth in the US private sector. Manufacturing PMI fell to 49.4, indicating a shift into contraction, and the Services PMI increased marginally to 50.8. Looking ahead this week on the US front, housing data, consumer confidence, GDP, Fed’s preferred inflation gauge, and ISM Manufacturing PMI.
The Pound Sterling advances to a new 12-week high against the Greenback courtesy of better-than-expected data revealed on Thursday, which sparked a sell-off of the US dollar and as a result UK bond yields rose. British consumers have turned more optimistic about the outlook for the economy and their personal finances this month but their mood remains a long way off pre-COVID levels, market research firm GfK said on Friday. Despite lingering cost-of-living pressures, GfK's headline consumer confidence index was stronger than anticipated in November, increasing to -24 from October's three-month low of -30. November's reading was above the -28 forecast in a Reuters poll of economists and follows a sharp fall the month before. The six-point increase was the biggest month-on-month improvement since March to April although Friday's reading was still much weaker than just before the coronavirus pandemic hit Britain.