Repo rate cut to 5.25% from 5.5%Marginal Lending Facility Rate lowered by 25bps to 5.50%Standing Deposit Facility Rate to 5.00% Governor Malhotra of the RBI says the vote to cut was unanimous:maintains neutral stance banking system further consolidatedsince the October policy meeting, the economy has witnessed rapid disinflationit’s a rare goldilocks period for the Indian economygeopolitical and trade environment weigh on outlook—-The RBI press conference is due at midday Mumbai time:0600 GMT / 0100 US Eastern time This article was written by Eamonn Sheridan at investinglive.com. 🔗 Source 💡 DMK Insight The RBI’s repo rate cut to 5.25% is a game changer for traders, especially in the context of SOL’s current price at $137.77. Lowering rates typically boosts liquidity, which can lead to increased investment in riskier assets like cryptocurrencies. With the RBI’s unanimous decision reflecting a neutral stance, traders should watch for how this impacts market sentiment in the coming weeks. If SOL can hold above the $135 support level, it might attract more buying interest, especially if broader market conditions remain favorable. Conversely, a failure to maintain this level could trigger a sell-off, so keep an eye on trading volumes and market reactions. The real story here is the potential ripple effect on correlated assets. If SOL rallies, we could see similar movements in other altcoins, as traders often rotate into assets showing strength. Watch for any economic indicators that might shift this newly established equilibrium, as volatility could spike if inflation data or global economic news disrupts the current trend. 📮 Takeaway Monitor SOL’s ability to hold above $135; a sustained rally could trigger broader altcoin gains in response to the RBI’s rate cut.

Reserve Bank of India rate cut by 25bpBOJ likely to hike in December, Bloomberg says; yen jumps on reportPBOC reins in yuan strength, signalling comfort with current level before key policy eventUSD/INR eases from record highs as markets await RBI decision and guidanceChinese GPU makr surges 400% amid booming demand for Nvidia alternatives: “China’s Nvidia”Japan’s PM Takaichi shifts tone to calm markets as rising yields test fiscal credibilityCopper rally accelerates on electrification and AI demand, with forecasts up to $14,000/tSoftBank’s Son nears plan for Trump-branded AI factories funded by JapanGold’s explosive rally may reflect a monetary regime shift, not a classic bubbleIndia stocks to rise ahead of RBI call as rupee slide challenges rate-cut betsRecap: Japan household spending drops sharply, adding pressure ahead of BOJ rate decisionPBOC sets USD/ CNY reference rate for today at 7.0749 (vs. estimate at 7.0751)INR traders heads up: Reserve Bank India rate cut expected today at 0430 GMT/2330 EasternJapan finmin Katayama: Will closely monitor market developments (plus wider comments)Poll: RBA expected hold at 3.60% this month as outlook shifts to long pause through 2026China debt crackdown pushes LGFVs into costly shadow loans, reviving hidden-risk worriesJapan metalworkers union seeks bigger wage hikes, reinforcing BOJ rate-hike expectationsJapan data huge miss – Household spending plummets in Oct, down 3% y/y vs. +1% expectedGold steady around $4,210 as markets await PCE data and next week’s Fed meetingBOJ secures support for December hike but long-term rate path remains unclearUSTR Greer calls for smaller, balanced China trade and tighter USMCA enforcementUS stocks finish flat as Fed-cut hopes rise but Amazon drags S&P 500AMD ready to ship licensed AI chips to China and pay 15% Trump feeJP Morgan says Strategy risk, not gold, is key to bitcoin’s $170k. Read between the lines.investingLive Americas market news wrap: Initial jobless claims tumbleLocal markets traded in a relatively subdued fashion on Thursday as investors looked ahead to Friday’s U.S. Personal Income and Outlays report (0830 ET), which will finally deliver the delayed September PCE and core PCE inflation readings following the government shutdown.From Japan, October household spending disappointed sharply, falling 3.0% y/y and 3.5% m/m, well below expectations. The slump highlights fragile consumer demand and adds a layer of complexity to the Bank of Japan’s assessment ahead of its December policy meeting.The Wall Street Journal reported that SoftBank CEO Masayoshi Son is working with the White House on a plan to build “Trump Industrial Parks” on U.S. federal land, potentially deploying hundreds of billions of dollars in capital linked to the recent U.S.–Japan trade deal.In China, Friday’s USD/CNY fixing almost fully removed the recent strengthening bias following a rebound in the U.S. dollar. By setting the fix close to market estimates, the PBOC signalled comfort with current yuan levels and appears intent on maintaining currency stability ahead of the Central Economic Work Conference and Politburo meetings later this month.Commodities were mixed:Gold held around USD 4,200–4,215/oz.Copper touched a three-month high on the LME.Oil softened slightly.In corporate news, reports that Netflix is in exclusivity talks to acquire Warner Bros. Discovery’s studios and streaming assets for $28 per share.On the central-bank front, Bloomberg reported that the BOJ is leaning toward a 25bp rate hike at its 18–19 December meeting, which would lift Japan’s policy rate to 0.75%, the highest since 1995. Officials reportedly believe markets correctly interpreted Governor Ueda’s recent comments as a strong hint toward tightening and may signal openness to further cautious hikes if conditions allow.Meanwhile, the Reserve Bank of India delivered a 25bp rate cut despite rupee weakness and resilient domestic growth. The cut was expected, but the expectations was by no means unanimous given improved data recently. Record low retail inflation and a benign outlook for prices provided room to further support economic growth according to the Bank. Asia-Pac stocks:Japan (Nikkei 225) -1.26%Hong Kong (Hang Seng) -0.24% Shanghai Composite +0.1%Australia (S&P/ASX 200) +0.2% This article was written by Eamonn Sheridan at investinglive.com. 🔗 Source 💡 DMK Insight The RBI’s recent 25 basis point rate cut is a game changer for traders, especially with the USD/INR easing from record highs. This move signals a shift in monetary policy that could impact liquidity and borrowing costs, making it crucial for traders to reassess their positions. The anticipated hike from the BOJ in December adds another layer of complexity, potentially strengthening the yen and affecting cross-currency trades. With the PBOC signaling comfort with the yuan’s current level, traders should keep an eye on how these central bank actions influence currency pairs, particularly USD/INR and JPY/USD. The surge in Chinese GPU demand, up 400%, could also have ripple effects on tech stocks and commodities, so monitoring these sectors is wise. Watch for any further guidance from the RBI that could indicate future rate adjustments, as this will be pivotal for short-term trading strategies. 📮 Takeaway Keep an eye on USD/INR levels post-RBI rate cut and watch for guidance on future rate adjustments to inform your trading strategy.

The Reserve Bank of India cut its repo rate by 25bps on Friday, delivering the widely expected move as record-low retail inflation and a benign price outlook gave policymakers space to extend support for growth. Reserve Bank of India rate cut by 25bpThe decision brings the total easing since February to 125bps, taking the repo rate to 5.25% after pauses in August and October.Alongside the rate cut, the RBI announced measures to ease liquidity, reinforcing the policy stance. Officials left the door open for further easing, with markets viewing another 25bp cut as possible if inflation stays contained. Many economists now see a terminal rate near 5.00%, after which the central bank is likely to hold for an extended period. This article was written by Eamonn Sheridan at investinglive.com. 🔗 Source

It’s been a bit of a running theme to start the new month, hasn’t it? That being firms expecting further dollar weakness in December. Credit Agricole is the latest to pile in on the greenback in arguing that EUR/USD is “looking undervalued according to our FAST FX model”. Adding that the pair has yet to fully reflect the widening rates spread between the euro and the dollar amid growing dovish expectations on the Fed heading into the FOMC meeting this month.Besides that, they see seasonal patterns as also being a tailwind for EUR/USD to grind higher – noting that the euro has been “one of the most consistent outperformers vs the USD during the month of December in the last 25 years”. Well, let’s take a look at that seasonal chart then:Well, they’re not wrong in that regard and we’re even seeing EUR/USD move higher in the final month of the year in 8 of the last 10 December cycles.Apart from that, Credit Agricole also sees the euro being more bid as exporters accelerate profit-repatriation flows into year-end. As such, the firm expects EUR/USD to gain further in the week ahead barring any dollar-positive surprises. This article was written by Justin Low at investinglive.com. 🔗 Source 💡 DMK Insight Dollar weakness is becoming a consensus view, and here’s why that matters: Credit Agricole’s take on EUR/USD suggests a potential reversal. With firms increasingly betting on a weaker dollar, traders should watch for key levels in EUR/USD. If it breaks above recent resistance, it could signal a stronger rally. This sentiment aligns with broader economic indicators pointing to a slowing U.S. economy, which could further pressure the dollar. Keep an eye on the upcoming economic data releases; they could either validate or challenge this bearish dollar outlook. But don’t overlook the flip side—if the dollar holds its ground, we might see a sharp correction in EUR/USD and related pairs. Watch for volatility spikes, especially around major economic announcements. The market’s positioning could lead to significant moves, so stay nimble. 📮 Takeaway Monitor EUR/USD for a breakout above resistance; a sustained move could signal dollar weakness, while a reversal might catch traders off guard.

Major indices in the US had a mixed showing yesterday, mostly keeping little changed. Tech shares squeezed out slight gains but it wasn’t all too convincing of a more positive undertone even if European equities also managed to grind higher yesterday. At the balance, investors seem a bit nervous still in trying to manage the whole debate on the AI bubble.So far today, there is still an air of calm across markets. The US weekly initial jobless claims yesterday did surprise a little but the numbers were likely influenced by the Thanksgiving holidays. So, that sentiment is helping to keep things in check and market players are waiting on the next key risk event or headline to work with.But as we look to wrap up the week, there won’t be much drama to be had in all likelihood. As a reminder, there will be no US non-farm payrolls report today with it being pushed back to 16 December instead.S&P 500 futures are now up 0.2% as US stocks slowly creep closer towards fresh record highs once again. But with the Fed just around the corner next week, there’s still going to be a sense of trepidation in the run up to the FOMC meeting.Putting all that together, the lack of drama allows for investors to hold a calmer and steadier footing for now. However, there will be a sense of caution as we get closer to the final Fed policy decision for the year – even if a rate cut is well anticipated by now. This article was written by Justin Low at investinglive.com. 🔗 Source 💡 DMK Insight Mixed performance in US indices signals uncertainty—here’s what to watch next: The slight gains in tech shares, while a positive sign, don’t mask the underlying nervousness among investors. With major indices showing little change, traders should be cautious about overcommitting to bullish positions. The broader market context indicates a lack of conviction, especially as European equities also posted modest gains. This could suggest a temporary bounce rather than a sustained rally. Keep an eye on key resistance levels in tech stocks; if they fail to break through, it could trigger a wave of profit-taking. Moreover, the mixed signals might lead to increased volatility in correlated assets like cryptocurrencies, which often react to shifts in investor sentiment. Watch for any significant news or economic data releases that could sway market sentiment, particularly in the coming week. If indices start to trend lower, it could create a cascading effect across sectors, so positioning for potential downside might be wise. 📮 Takeaway Watch for key resistance levels in tech stocks; a failure to break through could trigger profit-taking and increased volatility in correlated markets.

There is arguably just one to take note of on the day, as highlighted in bold below.That being for USD/JPY at the 155.00 mark. Sellers tried to make a play once again yesterday in trying for a firm break below the figure level but ultimately failed as the daily close held at 155.05. So, they’re going to have to take another shot at that today. The expiries above will help to keep a rough lid on price action at least in terms of limiting upside potential, that as the dollar remains softish and the yen continues to work with more hawkish expectations ahead of the BOJ meeting later this month.The technical side of things is what is going to be key in closing out the week though. So, watch out for that daily/weekly close under 155.00 to put more pressure on the pair next week if we do get there.I’ll be away until 16 December, so Giuseppe will take over to keep you guys posted on the expiries in the week ahead at least. I’ll see if I can sneak in a preview for the expiries board for next week before I go. But again, just remember that the levels will be subject to change as they can and will evolve based on the flows up until the expiry date/time itself.For more information on how to use this data, you may refer to this post here.Head on over to investingLive (formerly ForexLive) to get in on the know! This article was written by Justin Low at investinglive.com. 🔗 Source 💡 DMK Insight USD/JPY is at a critical juncture around 155.00, and here’s why that matters: Sellers attempted to push the pair below this key level but couldn’t maintain momentum, leading to a daily close above 155.00. This failure to break could signal a potential bullish reversal, especially if buyers step in and push the price higher. Traders should keep an eye on this level as it could dictate short-term sentiment. If we see a solid close above 156.00, it might trigger further buying interest, while a decisive break below 155.00 could lead to a quick sell-off, potentially targeting 154.50 or lower. It’s worth noting that the broader market context, including U.S. economic indicators and interest rate expectations, could influence USD/JPY’s trajectory. If the dollar strengthens due to positive data, it could reinforce upward pressure on this pair. Conversely, any signs of weakness could lead to renewed selling pressure. Watch for volatility around upcoming economic releases, as they could provide the catalyst needed for a breakout in either direction. 📮 Takeaway Watch the 155.00 level closely; a close above 156.00 could signal a bullish move, while a break below 155.00 may lead to a sell-off targeting 154.50.

Prior +1.1%; revised to +2.0%German factory orders came in with a beat in October, even with the more positive revision to the September figures as well. That’s a positive and even when you exclude large orders from the equation, new orders were 0.5% higher than in the previous month. However, the less volatile three-month comparison does show a decline in new orders by 0.1% (after excluding large orders). The main jump in October owes much to a a large order in the “Other Vehicle Construction” sector (aircraft, ships, trains, military vehicles), which saw a 87.1% jump in that compared to September. This article was written by Justin Low at investinglive.com. 🔗 Source

Prior +0.6%; revised to +0.5%House prices +0.7% y/yPrior +1.9%UK house prices were steady in November as the yearly growth slows, though the average property price is seen inching up to a new record high of £299,892. Resilient. Halifax notes that:“This consistency in average prices reflects what has been one of the most stable years for the housing market over the last decade. Even with the changes to Stamp Duty back in spring and some uncertainty ahead of the Autumn Budget, property values have remained steady. “While slower growth may disappoint some existing homeowners, it’s welcome news for first-time buyers. Comparing property prices to average incomes, affordability is now at its strongest since late 2015. Taking into account today’s higher interest rates, mortgage costs as a share of income are at their lowest level in around three years. “Looking ahead, with market activity steady and expectations of further interest rate reductions to come, we anticipate property prices will continue to grow gradually into 2026.” This article was written by Justin Low at investinglive.com. 🔗 Source 💡 DMK Insight UK house prices are holding steady, but the slowing growth signals potential market shifts ahead. With the average property price now at £299,892, the resilience in prices could be masking underlying weaknesses. A year-on-year growth rate of +0.7% down from +1.9% indicates that buyers are becoming more cautious, likely due to rising interest rates and economic uncertainty. This could affect the housing market’s liquidity, leading to fewer transactions and potentially impacting related sectors like construction and home improvement. Traders should keep an eye on the broader economic indicators, especially consumer confidence and inflation rates, as these will influence buyer sentiment. Here’s the flip side: while some may see this as a sign of a cooling market, it could also present buying opportunities for investors looking to capitalize on long-term growth. Watch for key levels around £300,000; a sustained break above could signal renewed interest, while a drop below might confirm bearish sentiment. Keep an eye on the upcoming economic data releases for further insights. 📮 Takeaway Monitor the £300,000 level closely; a break above could signal renewed buying interest, while a drop below may indicate bearish sentiment in the housing market.

I believe markets in the long run are very efficientFluctuations can happen, effort is to reduce undue volatilityWe have sufficient reserves, current account mangeableShould get good capital flows going forward due to good fundamentalsWe don’t target any particular growth rate in creditExpect policy rates to be low as inflation will stay benign5% of INR depreciation leads to 35 bps of inflationQuantum of system liquidity will be managed to ensure monetary transmission is happeningBanking liquidity at the moment is sufficient, not targeting any levelThere will be ample liquidity as long as we are in an easing cycleBond yields and their spreads with repo is more or less similar to historical levelsGoal is to have inflation around 4%The RBI seems to confirm that it won’t waste reserves again trying to intervene in the market to stop the INR depreciation, so this should keep weighing on the rupee. As a reminder, the RBI intervened more forcefully in October near the 88.80 USD/INR level but as it always happens when the fundamentals remain against a currency, the INR resumed its fall and after breaking above the 88.80 level, the momentum increased.Today, the RBI cut the repo rate by 25 bps as expected amid record low inflation that in October fell to 0.25%. The RBI targets 4% headline inflation with a +/-2% tolerance band. The very low inflation rate gives the RBI space to keep easing and support growth. This article was written by Giuseppe Dellamotta at investinglive.com. 🔗 Source 💡 DMK Insight Market efficiency is a long-term game, but short-term volatility can shake traders. The current sentiment suggests a manageable current account and sufficient reserves, which could lead to stable capital flows. However, the emphasis on low policy rates indicates that inflation is still a concern. Traders should keep an eye on how these factors interplay, especially if inflation metrics start to shift. If capital flows improve, it could bolster asset prices, but any unexpected inflation uptick might trigger volatility. Watch for key economic indicators that could signal shifts in inflation or capital movement, particularly in the next few weeks. If inflation data shows unexpected strength, it could prompt a reassessment of the current market outlook, impacting both forex and crypto assets significantly. 📮 Takeaway Monitor upcoming inflation reports closely; unexpected increases could lead to volatility and affect capital flows significantly.

Government taking appropriate steps on excessive, disorderly moves in FX market if necessaryExpect BOJ to conduct monetary policy appropriatelyImportant for FX market to move steadily and stablyIt’s just some added verbal intervention, though they can be a little bit happier surely that the Japanese yen didn’t tumble further this week. It’ll be the first time the currency posts back-to-back weekly gains against the dollar since August. USD/JPY looks to be running with a firmer break under 155.00 now, with the pair down 0.4% to 154.40 on the day as the dollar remains weak. This article was written by Justin Low at investinglive.com. 🔗 Source 💡 DMK Insight The BOJ’s recent comments on FX stability signal a cautious approach to yen volatility, and here’s why that matters: With the yen showing signs of resilience this week, traders should keep an eye on how the BOJ’s verbal interventions could influence sentiment. The central bank’s commitment to ‘appropriate’ monetary policy suggests they might be ready to act if the yen faces excessive pressure. This could lead to increased volatility in the forex market, particularly for USD/JPY pairs. If the yen strengthens further, it could impact export-driven sectors in Japan, which might ripple through global markets. Watch for any shifts in the BOJ’s stance, as they could indicate potential interventions that might affect trading strategies. On the flip side, while the BOJ’s reassurances are positive, they also highlight the fragility of the current situation. If the yen starts to weaken again, traders should be prepared for possible interventions that could create sharp price movements. Key levels to monitor include the recent highs and lows in the USD/JPY pair, as these will indicate market sentiment and potential breakout points. Keep an eye on economic indicators from Japan and the U.S. that could influence the BOJ’s next steps. 📮 Takeaway Watch the USD/JPY pair closely; any signs of yen weakness could trigger BOJ intervention, impacting trading strategies significantly.