EQUITIES

Asia-Pacific markets traded mixed on Friday. The South Korea’s KOSPI led the gain with 1.30%, followed by the Australia’s S&P/ASX 200 that advanced 0.34%, with and Singapore’s Straits Times index added 0.33%. Meanwhile, Japan’s Nikkei 225 slipped -0.33%, the Shanghai Composite at -0.35% lower, and Hong Kong’s Hang Seng index down -0.16%.

Overnight on Wall Street, the Dow Jones Industrial Average rose 85.99 points, or 0.29%, to 29,969.78, and the Nasdaq Composite added 27.82 points, or 0.23%, to 12,377.18. The S&P 500 fell 0.06%.

OIL

Oil prices rose on Friday, heading for a fifth week of gains. The Brent crude futures traded to $49.58 a barrel, while U.S. crude at $46.39.

Oil touched their highest levels since March on Thursday, as Brent closed at $48.71 per barrel, while WTI futures ended at $45.64 per barrel.

CURRENCIES

The U.S. dollar index, which tracks the greenback against a basket of its peers, was at 90.69 following a 2-1/2 year low of 90.504 on Thursday.

Following stocks rally in November, the dollar weakened around 3.0% last month and is down almost 6% this year, putting the currency en route for its worst yearly performance since 2017.

The Australian dollar changed hands at $0.7427, having risen from levels below $0.74 earlier in the trading week. The New Zealand dollar made a fresh 31-month high overnight and is set for its fifth consecutive weekly gain.

The Reserve Bank of India is expected to announce its interest rate decision on Friday.

GOLD

Gold rose on hopes for a vaccine-led economic recovery. Spot gold currently trading at $1,841.60 per ounce, while stands around $1,846.00 per ounce for gold futures. Previously closed at $1,841.30 and $1,841.10, respectively.

Silver trading at $24.08, platinum trading at $1,038.00 and palladium trading at $2,210.00.

ECONOMIC OUTLOOK

Asian stocks in a mixed fashion on Friday as investors weighed the recent strength in global equities and hopes of vaccine rollout against signs of possible further lockdowns in the U.S. and as the Pentagon added more Chinese firms to a blacklist of alleged Chinese military companies.

Investors kept looking for signs that a stimulus deal could be reached in the U.S. Congress to boost the economy until vaccines are widely available. A $908 billion aid plan gained momentum in Congress on Thursday as conservative lawmakers expressed their support.

The U.S. Labor Department said initial jobless claims decreased to a seasonally adjusted 712,000 for the week ended Nov. 28. U.S. services industry activity slowed to a 6-month low in November.

OPEC+ reached a compromise deal to gradually taper output cuts from the start of next year. The group will start adding 500,000 barrels a day of crude to the market in January and will then hold monthly meetings to decide on the next steps.

o date, number of confirmed worldwide cases for COVID-19 pandemic has surpassed 65.169 million affecting 213 countries and territories around the world and 2 international conveyances, recording more than 1.505 million fatality globally.

TECHNICAL OUTLOOK

[USDJPY]

Important Levels to Watch for Today:

- Resistance line of 104.556 and 104.898.

- Support line of 103.447 and 103.104.

Commentary/ Reason:

- The dollar stood at 103.91 per yen, holding on to its gains made the previous day.

-  USD/JPY held its ground as COVID-19 vaccine optimism and rally in global equity markets curbed the safe-haven demand for the yen.