A tense calm persists in the financial markets as the U.S. heads to the polls. With a close presidential race, many anticipate delayed results, potentially extending the election’s impact. Concerns over premature claims of victory and contested results loom large. In this backdrop, the dollar remains largely stable within tight ranges. Equities are showing resilience, and U.S. index futures are trending slightly higher.
Gold dipped to a six-day low around $2,725 but has rebounded to approximately $2,739. Meanwhile, WTI crude, after a gap down last week, has fully recovered and climbed above $72 for the first time since late October.

Asia-Pacific Markets
In line with expectations, the Reserve Bank of Australia held interest rates steady while adjusting its economic forecasts. Growth projections were trimmed, and inflation is now expected to remain outside the target range until 2026. Yesterday, the Australian dollar touched a five-session high at $0.6620 but has seen some volatility in late European morning trading.
Meanwhile, the dollar briefly reached a new low against the yen, slipping below JPY 151.55 before rebounding to around JPY 152.20. It continues to hold above JPY 152 in a consolidative pattern.

European Markets
The UK’s final October services and composite PMI, released between last week’s budget announcement and the upcoming Bank of England meeting, showed a second consecutive slowdown, with services PMI hitting 52.0, its lowest since November last year. Sterling approached the $1.30 mark yesterday and remains firm today. The euro, which reached a high near $1.0915, has seen limited movement since then, currently hovering just below $1.09 as buyers await further developments.

American Markets
The U.S. election is the primary focus today, with economic data expected to have minimal impact.
Attention is also on the minutes from the Bank of Canada’s last meeting, where a 50 basis-point rate cut was implemented. Analysts are scrutinizing these records for signals of another potential cut in December. The U.S. dollar recently hit a two-year high against the Canadian dollar near CAD 1.3960, but retraced to CAD 1.3875, marking a six-day low in yesterday’s session.