Week in FX Americas – Obama Fails to Bring Relief

Friday’s much anticipated speech from the US President elect has failed to bring relief to the many who seek clarity on how to address the Fiscal Cliff. Market reaction had US bond prices ticking higher, equities giving up ground and the ‘big dollar’ losing some of its safer footing against the Yen. Obama it seems is leaning towards the balanced approach. He is determined to get the Fiscal Cliff talks going and knows that any solution must include spending cuts and raising revenue, including raising taxes on the wealthiest. We can this to be a tortuous procedure for the markets.

• US Consumer Sentiment at a 5-year high
• US Trade Deficit Narrows in September
• Record US Exports Narrows Trade Deficit
• Rating Agencies Mixed on US Ahead of Fiscal Cliff
• As US election relief fades, Dollar gains, shares dip
• Obama gets his second term
• US Services Expand at a Slower Pace
• Draghi Reassures Markets ECB can do Unlimited Interventions

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