Big bullish push for the dollar, which is breaking through all its summer resistances one after the other.

The $-Index climbs +0.6% above the 106 mark to settle this evening at 106.1 (after a high of 106.18, the best mark since June 26 intraday and April 30).
The next target could be 106.9, the zenith reached at the end of October 2023.
The euro is down 0.5% at 1.0605 (after testing 1.0595 at the low, the closest level since April 16 intraday and November 2, 2023 at the close).
Below $1.0600, the euro could well head for 1.0465, the support tested on October 3, 2023.
The Euro is weakened by a double "scissors effect": disappointing economic indicators in the Eurozone, political chaos in Germany, and on the other hand, traders' confidence in Trump's fiscal support to stimulate growth in the US, and bond yields returning to early summer levels (4.57% on the US 30-year).

In Europe, the 'figures of the day' are not reassuring, either for inflation (EU CPI) or future growth (ZEW): inflation in the eurozone came out at 2% annualized in October, after +1.7% in September, and the 'ZEW' in Germany sank by -5.7Pts.

The possibility of the ECB stepping up the pace of its rate cuts to -50Pts is no longer part of the central scenario, given the differences of opinion that currently seem to prevail within the institution.

And on the growth front, in Germany, the ZEW index of investor sentiment is at half-mast, reflecting the impact of the political crisis caused by last week's break-up of the three-party coalition.
The ZEW index fell by 5.7 points in the November survey compared with the previous month, to stand at +7.4.

"Economic expectations for Germany have been overshadowed by Donald Trump's victory and the collapse of the German coalition government," explains ZEW President Achim Wambach, commenting on the survey results.
In addition, assessments of the current economic situation in Germany are also increasingly pessimistic, with the corresponding indicator down 4.5 points to -91.4.

The inflation rate in Germany - measured as the change in the consumer price index (CPI) compared with the same month a year earlier - was confirmed by Destatis at 2% for October 2024, compared with 1.6% the previous month.

But the worst performance of the day went to the Pound (and in parallel to the UK Gilts, which lost ground at 4.58%), which fell -1% to $1.2725, and the Yen -0.7% (the $ climbed back to 154.8).3
Finally, the Yuan showed resilience with a limited decline of -0.3% to $1.2325

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