Nov. 3: MARKET REVIEW
US dollar strengthened as disappointing surveys out of China’s manufacturing and services sectors highlighted the relative health of the US economy, and piled pressure on other countries to ease monetary policy yet further. China’s manufacturing PMI came at 50.8 down from 51.1 in October, while its services sector grew at its slowest pace in 9 months.
EUR/USD hit new 2-year minimum at $1.2440. GBP/USD tested $1.5925, but then returned to $1.5980. USD/JPY opened with a gap up and reached a new 7-year high at 112.97 yen.
AUD/USD opened with a gap down and slid to $0.8700 before recovering to $0.8750. Aussie had its biggest decline in three weeks as building approvals fell by 11% in September from August. NZD/USD opened with a gap down and tested $0.7736 before rising to $0.7790.