Open: London Session | Forex, Metals, Oil, Agriculture December 02, 2021



It has been overvalued, on the BNY Mellon methodology, for the best part of a decade, and has also been even more overvalued than the dollar. Meanwhile, as amply discussed recently, it looks like the U.S. will be tightening monetary policy, which all else equal should strengthen the dollar. However, perhaps we should all pay more attention.The yuan is now at its strongest in more than three years versus the U.S. dollar. That would cause the euro-area economy to shrink by about 2% in the first quarter.
The maker of Kelly and Birkin handbags will replace Universal Music in the Euro Stoxx 50.


Meanwhile, OPEC+ is meeting and could reconsider plans for oil supplies after the U.S. and others released crude from their strategic reserves.

United States

The mercantilist approach of the Trump administration has been abandoned, and the level of the yuan is no longer a geopolitical flashpoint. But while that issue seemed to matter under Trump, the focus has now moved on to inflation. But it won t be the blockbuster quarter that Apple — and Wall Street — had originally envisioned.


Travelers coming from outside the EU will need to provide a negative test carried out in the 48 hours before entering France, even if they are vaccinated. For the ECB, there s no direct takeaway ahead of the December meeting.