02.11. Awaiting central bank meetings: weakening of the Australian dollar, oil stability

News for today, November 2nd:

Global stocks were just below all-time highs on Tuesday and currencies held tight ranges as investors await the Federal Reserve meeting, which is one of several central bank decisions this week that could determine risk appetite. The Reserve Bank of Australia was in the spotlight on Tuesday as it moved towards rolling back the broad stimulus policy introduced during the pandemic by abandoning its ultra-low bond yield target. The focus is now on the Fed that starts a two-day meeting later today where it is expected to announce tapering of its asset purchases. Then attention will shift to the Bank of England that will also hold a meeting this week.  

The Australian dollar weakened on Tuesday after the country's central bank dampened investor hopes for a sharp turnaround. It kicked off a significant week for monetary policy. The yen fell 0.31% to 113.65 per dollar, and the euro fell 0.07% to $ 1.15995. Oil prices remained stable on Tuesday as key OPEC producers undershot its expected pace of output increases last month, and the world's largest oil consumer, China, increased operating capacities to meet a surge in diesel demand.

The price of Brent crude is $ 84,99 per barrel, WTI — $ 84,15. EUR/USD is at 1.1597, GBP/USD — 1.3643, gold is at $ 1,792.37 per ounce.­­­­