The financial markets have been volatile, with mixed movements across different sectors. The dollar has found some stability today after losing ground yesterday, partially reversing its gains from earlier in the week. Among G10 currencies, most are still holding gains against the dollar. However, the euro stands out as an exception, down about 0.6%, and remains vulnerable to further declines.
In equities, most markets are down today. Gold, which briefly recovered above $2,700 yesterday, is facing renewed selling pressure. Support around $2,680 has held for now, though its position remains tenuous. Meanwhile, December WTI crude oil has not only lost yesterday’s gains but also retreated further. Still, trading near $71, it's up 2.4% for the week.

Asia-Pacific Markets
Japanese economic indicators provided mixed signals. Household spending fell by 1.1% year-over-year in September, though the result was slightly better than anticipated. Japan is set to release its Q3 GDP report next week, which may provide further insight into the country's economic trajectory.
The dollar surged by 2% against the Japanese yen on Wednesday but then retraced around 1%. After peaking near JPY 154.70, it fell back to around JPY 152.85, with key support anticipated in the JPY 151.30-65 range.
The Australian dollar showed resilience, rebounding from a three-month low near $0.6515, following an initial drop linked to the U.S. election results.

European Markets
In a widely expected move, the Bank of England implemented a second consecutive quarter-point rate cut, signaling that the government's budget may drive inflation up by 0.5% by Q3 2025. Governor Andrew Bailey indicated that if economic conditions develop as expected, interest rates could gradually decline over time.
The British pound briefly surpassed $1.30 yesterday, partially recovering from Wednesday’s losses, but has since held below that mark.
The euro, meanwhile, slid to $1.0760, struggling to hold above yesterday’s levels.

American Markets
As expected, the Federal Reserve also enacted a quarter-point reduction in the Fed funds rate, bringing it to a target range of 4.50%-4.75%. Fed Chair Jerome Powell refrained from speculating on potential policy changes under the incoming administration or the outlook for the December meeting. Currently, market expectations for another quarter-point cut in December stand at approximately 66%, down from 82% a week ago.
The Canadian dollar also demonstrated resilience, nearly erasing Wednesday’s losses, despite the U.S. two-year yield premium reaching a new multiyear high at 115 basis points.