The Dollar's debacle was halted after -1.5% on Tuesday, a spectacular fall that was accompanied by the biggest easing in rates since mid-March (T-Bonds erased -15Pts on Tuesday).

The $-Index recovered 0.33% to 104.25, while T-Bond yields eased +10pts to 4.542%, while the yen dropped -0.6% to 151.25 (Japanese growth fell -0.5% in Q-3 vs. Q2).

Symmetrically, the euro lost a few fractions (-0.25%) against the dollar after soaring +1.70% (to around 1.0890 the previous day), which seems logical in view of the negative signals multiplying in Europe: CVS industrial production fell by -1.1% in the eurozone and by -0.9% in the EU, according to estimates from Eurostat, the European Union's statistical office.
Industrial production fell by 6.9% in the Eurozone in September and by 6.1% in the EU.

Economists in Brussels now expect Eurozone GDP to grow by 0.6% in 2023, compared with the previous estimate of +0.8%, while inflation has been revised upwards from +2.9 to +3.2% in 2024.
Germany, for its part, could experience a contraction of -0.3% this year, compared with 0.2% previously.
In France, reservations for new housing collapsed by -40% in Q3 compared with 2022, to just 16,000 deliverable units.
The unemployment rate rose by +0.2% to 7.4% in October (category A) and the 'all categories' rate flirted with 17% (16.9%).

The Pound lost -0.65% to $1.2415, while British inflation (4.6% vs. 6.7% in September) fell in October to its lowest level since 2021, bringing it closer to the Bank of England's target and giving consumers some breathing space.
Italy did even better with +1.7%, but this was accompanied by a slowdown in the economy.

On the US statistics front, retail sales in the USA fell by 0.1% in October compared with the previous month (+0.9%).

Excluding automobiles and fuels - the component of the statistics that best corresponds to the measure of consumption used in calculating GDP - retail sales rose by 0.1%.
Automobile sales were down 1% in October compared with September, while gas station sales were down 0.3%.

The positive surprise came from the Empire State index calculated by the New York Fed, which climbed +14pts to a positive 9.1 in November.
But beware: the 'outlook' fell sharply, with companies no longer expecting conditions to improve over the next six months.

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