Hurricane Sandy, one of the biggest storms ever to hit the United States bore down on the Northeastern US on Monday evening, targeting big population areas like New York City, Washington, Philadelphia and Baltimore. The fierce winds and heavy rain forced evacuations, public transportations were shutdown and the presidential campaign interrupted. The US stock markets were closed for the first time since the September 11 2001 attack and will remain closed on Tuesday. It will be a disappointing start of the week for the financial markets ahead of a busy week data-wise that consists of BoJ monetary policy on Tuesday, China and US PMI on Thursday and, the US employment data on Friday.
The US dollar was a little more stable with the Euro hitting a low 1.2900. For the sterling, there is little news and activity with trading in the lower end of today’s range at 1.6030. The Japanese Yen advanced against major currencies on Monday amid concerns over the hurricane Sandy. Meanwhile, Gold retested $1714-18 resistance which held once again and have fallen back to the familiar $1710 level. OIL/USD remained pressured on rallies and remained on the $85 big figure.