The Gaza conflict continues to dominate the news around the world: A ground offensive by Israel is due soon, after Hammas escalated rocket attacks.
The price of oil is certainly moved by the voilence in the middle east. WTI Crude now trades at $40, after reaching $43. Oil prices will shake even more if the Gaza conflict widens.
The UBS Consumption Indicator in Switzerland was at 0.96. This figure didn’t move the USD/CHF, which now stands at 1.0547.
In the Eurozone, the yearly M3 Money Supply grew only 7.8%, less than expectations. Also Private Loans disapponted with an annual growth of only 7.1%. It didn’t bother the EUR/USD to move a little bit up, currently at 1.4157.
In Britain, the pound shows no sign of recovery. The GBP/USD is now at 1.4503, near rock bottom. GBP is close to parity with EUR, but the move isn’t complete yet. EUR/GBP is at 97.68.
Bigger news today is expected in the United States: The Chicago PMI is expected to show a very low number: 33.0. The Purchasing Managers’ Index in Chicago is an interesting figure that shows the direction of the economy.
And the bigger survey of the day comes a few minutes afterwards: CB Consumer Confidence is expected to be at 45.2. It’s a low figure, but not that devestating as the Chicago PMI.
After the CB Consumer Confidence is published, the markets will relax again, entering the New Years holiday.