Summary of Financial Markets: Notable Movements Despite the Absence of Key Data!
Financial markets witnessed significant movements during trading on Friday, despite the absence of major economic data releases, except for the UK economic growth data, which was extremely negative and adversely affected sterling trading.
In this context, the Office for National Statistics in the UK released the GDP growth data for the country on Friday morning, which came in extremely negative and below market expectations once again.
In this regard, the official data showed that the UK economy recorded a contraction in real GDP during October; the economic growth rate was -0.1%, while markets had anticipated a growth of about 0.1%. Notably, the rate also recorded a contraction of 0.1% in September.
Here is a look at the performance of financial markets:
Sterling suffers significantly due to negative growth data
The British pound clearly declined in light of the weak UK economic growth data, with the data for October being extremely negative and again below market expectations, which weakened the pound's position, causing it to drop by 0.45% to reach 126.23 points.
US dollar stabilizes while awaiting Fed decisions:
The US dollar experienced a degree of stability while awaiting US monetary policy decisions next week, which will have a strong impact on its movements. The dollar index remained stable at 106.96 points.
Gold prices decline amid dollar strength
Gold prices decreased due to rising US bond yields and a stable dollar index, which reduced the appeal of the precious metal. Spot gold prices fell by about $26 to settle at $2,655 per ounce, amid weak investment demand for gold.
Bitcoin registers very weak gains
Bitcoin rose slightly by 0.36% over the past twenty-four hours, surpassing the $101,756 mark. This surge was supported by continued inflows into Bitcoin investment funds and optimism about the future of digital currencies in the coming period.
Oil prices rise amid anticipation of sanctions against Iran
Oil prices showed a clear increase during trading on Friday, with anticipation of new US sanctions against Iran, which could lead to a reduction in oil supply in the markets. West Texas Intermediate crude rose by 1.86% to $71.24 per barrel, while Brent crude increased by 1.46% to $74.45 per barrel.
US stock indices decline
US stock indices experienced a slight decline, with the Dow Jones Industrial Average decreasing by 0.14% to settle at 43,852.38 points. Meanwhile, the S&P 500 index slid slightly by 0.058% to settle at 6,047.76 points.
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