Forex Today: All eyes on the US Presidential Election

A quiet Asian session witnessed today, with hours before the much-awaited US presidential vote and risk-off seeping back into markets, as markets weigh the post-elections ramifications across the fx board. Meanwhile, the Antipodeans faced doubled whammy in Asia, amid weaker-than expected Chinese trade data and waning risk appetite.

Heading into Europe, cautious sentiment extends as the greenback consolidates yesterday’s risk-on rally, while the safe-havens are bid ahead of the US vote, with two-sided volatility expected to be triggered later on Tuesday.

Calendar-wise, we have the UK industrial and manufacturing data due later in the European session. While the US dockets holds the JOLTS jobs openings and API weekly crude stockpiles data. However, the economic releases from both the UK and US are expected to play second fiddle to any US elections-related news-flow in the day ahead.

Main topics in Asia

Australia's NAB Monthly Business Survey: Moderation in the non-mining economic recovery

Australia's NAB Business Conditions came at 6 vs 8, while confidence stood at 4 vs 6, suggesting some moderation in the non-mining economic recovery, NAB notes. 

China trade (USD terms): Below estimates, Imports drop sharply

Following the release of China’s trade balance for October, in yuan terms, the China customs published the data in USD terms, showing a much bigger-than expected drop in the country’s imports.

2 National polls: Clinton in the lead by 4 points

According to a pair of polls released on the last day ahead of the US presidential election, Hillary Clinton is seen outpacing Trump with a 4-point tight lead nationally, Politico reported on late-Monday.

Dalian coking coal rises 10% on tight China supply

Coking coal surged by 10% on Monday while coke rose to highest since 2013, amid tight supply conditions.

Key focus for the day ahead

Risk appetite wanes into the US election

The EURUSD traded rangebound, a touch above the 1.1030 (major 38.2% retracement on Oct 25th to Nov 4th rise). The US presidential election should trigger two-sided volatility later in the session.

Reuters/Ipsos States of the Nation: 90% chance of a Clinton win

Just before hours for the US vote, the final Reuters/Ipsos States of the Nation project showed that Clinton has about 90% chance of winning the US presidential elections race.

US election risks for equities and commodities markets – Westpac

Research Team at Westpac, lists down the US election risks for equities and commodities markets by taking reference from the recent Brexit scenario.

To learn more about this topic, check our video analysis