Markets Today: Clinton-led risk-on crushes Yen, US elections eyed

A volatile start to a Big week ahead, with US elections-related news flows continuing to dominate market sentiment. A drastic turnaround in risk conditions was witnessed in Asia today, especially after risk-off moods drove markets almost throughout last week.

The renewed risk-on wave seen in Asia was largely on the back of reports that the FBI has cleared Clinton of the emails case, which boosted chances of a Clinton win once again. Hence, the yen suffered heavy losses against its American counterpart, while gold too crashed 1% amid resurgence of broad greenback buying ahead of the US elections.

Markets will continue to monitor developments surrounding the US elections as we remain just 48 hours from the highly-anticipated US presidential elections. While on the data-front, the Eurozone will report a slew of second-tier data ahead of the US labor market conditions index (LMCI) due on the cards in the US session.

Main topics in Asia

EUR/USD: FBI clears Clinton and dollar takes on the bid ahead of key 1.1020

EUR/USD has been bid since the 25th October from a low of 1.0850 where markets have been dominated by the US elections just two days away now. 

Oil ends 6-day decline, rebounds in Asia

Oil prices on both sides of the Atlantic staged a minor-rebound after last week’s sharp falls, underpinned by bargain-hunting and reports of an earthquake struck near Cushing, Oklahoma.

Risk-on takes Asia through the roof as FBI clears Clinton emails

The Asian equity markets set-off the US elections week on a positive note, jumping sharply higher on improved risk appetite, after the FBI cleared Clinton of all emails, citing carelessness on Clinton’s part, not criminality.

Key focus for the day ahead

US: Who will be the next President? – FXStreet Survey

Research Team at FXStreet, tried to grasp the sentiment of their experts regarding the outcome of the US presidential elections and mentioned below is how our experts answered to the question.

Eurozone: Sentix investor confidence, retail sales and German factory orders in focus – Danske Bank

Research Team at Danske Bank, suggests that today's data calendar is dominated by euro area releases. 

To learn more about this topic, check our video analysis