US Dollar Index trades near the two-week low on Friday. The Index retreated from the highs by hopes of new stimulus and set to post a decline for the second consecutive week. Earlier Trump suspended negotiations on a new program to support the American economy until the end of the presidential elections, but then announced the $25 billion package for airlines and a few other portions of stimulus, which are aimed at small businesses and households.
Global stocks trading higher over rising optimism about the Trump administration rolling out a new round of fiscal stimulus soon.
Crude oil prices extended gains as Hurricane Delta cut more than 90% of gulf crude output and the Saudis reportedly consider postponing OPEC plans to raise output. On the other hand, Oil and gas production in Norway is expected to contract by nearly 25% because of the ongoing strike.
In the currency market, the British Pound trades lower following weaker-than-expected economic data. UK's gross domestic product reported below expectations by just 2.1% in August and Industrial Production declined by 6.4% year-over-year compared to analyst consensus of -4.6%.
Gold price surged higher supported by the weaker dollar and hopes for a small aid relief package for airlines and small businesses.
On the data front, the Caixin Services Purchasing Managers Index (PMI) advanced to 54.8 last month from 54 in August. While the Composite PMI fell to 54.5 in September 2020 from 55.1 in August.
On Thursday, the Labor Department released the latest jobless claims data, the US Jobless Claims for the week ending October 2 declined from 849K to 840K, which was worse than the projected decline to 820K.
The number of people infected with the coronavirus across the world crossed 36.5 million, of which at least 1.06 million people have died and 25.4 million have recovered, according to data released by the Johns Hopkins University. Spain's health ministry reported 12,423 new coronavirus cases and 126 confirmed deaths on Thursday. Russia's daily coronavirus cases surge to a record high on Friday, with authorities reporting 12,126 new infections, pushing the total to 1,272,238.
EUR/USD: The currency pair surged to near 1.1800 zones boosted by the weaker dollar and strong economic data.
The important levels to watch for today: Support- 1.1760 and 1.1720 Resistance- 1.1810 and 1.1840.
GOLD: The yellow metal trades below the critical $1920 resistance zone. Overall, the momentum remained bullish throughout the day.
The important levels to watch for today: Support- 1907 and 1900 Resistance- 1921 and 1926.
Quote of the day: When you make a trade you must have the patience to wait for opportunities to exit right or to make a profit.
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