US job losses hit sentiment
Global markets were hit hard overnight after the private-sector Challenger job cuts series posted the sharpest rise in 22 years.
With official US data sparse due to the government shutdown, financial markets are relying on alternative indicators. The monthly Challenger job cuts number surged 175% — the biggest jump since 2003.
US sharemarkets fell, with the S&P 500 losing 1.1% and the tech-focused Nasdaq dropping 1.9%.
In FX, the Aussie and kiwi were hit hardest. AUD/USD fell 0.4%, while NZD/USD lost 0.5%.
In Asia, USD/SGD slipped 0.1%, while USD/KRW fell 0.3%.
Gold export boom to support Aussie
Australia’s trade surplus jumped to AUD 3.94 billion in September, up from a revised AUD 1.11 billion the month before, beating expectations thanks to a surge in gold exports.
Shipments of non-monetary gold soared 62.2%, helping total exports rebound 7.9% after an 8.7% drop. Bullion prices also climbed 12% month-on-month.
Imports edged up 1.1%, led by capital goods, slowing from a 3.3% rise previously.
The Aussie held steady against the US dollar, supported by China’s move to ease tariffs on US agricultural goods starting November 10 and suspend 24% duties on select items for a year.
AUD/USD was lower again overnight, with the pair back near key support at 0.6450. Aussie buyers may see current levels as a chance to step in.
Rate hike talk stirs policy confusion in Japan
Japan’s Ishin party co-leader Fumitake Fujita warned that a Bank of Japan rate hike could send conflicting signals, as the government continues to push for more private sector investment.
He also ruled out tax hikes to fund recent defense spending increases but gave no details on alternative funding.
Markets are currently pricing in a 25bps hike in March 2026.
Traders are watching USD/JPY closely, with verbal intervention possible if the pair approaches the 155.00 mark.
Support levels sit at 152.45 (21-day EMA), followed by 150.69 (50-day EMA).
US job losses spark worries
Table: seven-day rolling currency trends and trading ranges
Key global risk events
Calendar: 3 – 7 November
Have a question? [email protected]
*The FX rates published are provided by Convera’s Market Insights team for research purposes only. The rates have a unique source and may not align to any live exchange rates quoted on other sites. They are not an indication of actual buy/sell rates, or a financial offer.
