Closed in NY at $1.5996, off its recovery high of $1.6008, seen after rate had seen lows earlier in the session of $1.5958. Exit polls/results from Tuesday’s US election acted to determine direction through Asian trade overnight, with early calls that Romney would win Florida providing the dollar with an early boost that took cable to Asian session lows of $1.5969. However, as results began to filter through and show Pres. Obama on course to gain the necessary Electoral College votes to win the dollar was sold back with rate pressured to a high of $1.6037 before momentum faded. Rate eased to $1.6022 before picking up fresh demand ahead of the European open, the rate trading back above $1.6030 into the session. Expectation that continued fall out from the election result will be a major determinate of direction through the day on position adjustment as analysts publish their reports. A light UK calendar today, BOE Haldane is due to testify to the UK Banking Panel at 0930GMT the domestic highlight. Attention turning to Thursday’s rate announcement from the BOE, followed by the ECB.
EasyForexNews Research Team