Daily Market Commentary 2nd November 2021

Markets began the month of November quietly and no major surprises in what could be a very interesting week. The coming week will see the FOMC meeting and Non Farm Payrolls released. The Fed is likely to leave rates unchanged and perhaps recognise inflationary pressures in the narrative, while Non Farm Payroll will be keenly awaited. The RBA also have their Melbourne Cup meeting today, which is unlikely to act out of line with recent actions or commentary. US Manufacturing PMI and ISM Manufacturing were both weaker than expected, while Chinese Manufacturing deteriorated. The EUR pushed back to 1.1580, while the GBP floundered around 1.3650.

Australian PMI was positive and Job Ads increased by 6.2%. The media has been focused on the G20 and now the Glasgow Climate change conference. The elites love the stage, prancing around announcing non-sensible green energy targets, while many in the Northern countries suffer a self-imposed energy crises. The airport in Glasgow will be chocker-block full of private aircraft, full of virtue signallers, telling the common people not to drive and fly. The NZD rallied to 0.7170, while the AUD consolidated ahead of the ‘race that stops the nation’.