Forex news for US trading 6 April 2015:
- US Feb JOLTS job openings 5113K vs 5007K expected
- Saudi oil minister: Production at record pace
- Saudi oil minister: Ready to help improve prices but OPEC can't act alone
- ECB met its €60 billion QE target in March
- Kocherlakota: Fed should defer first rate hike until H2 2016
- Mersch: ECB may adjust QE pace if inflation overshoots
- US consumer credit rises $15.5B but revolving credit falls most in 4-years
- Bernanke: Should central banks take financial risks into account?
- IBD/TIPP economic optimism 51.3 vs 49.0 exp
- US sells 3-year notes at 0.865% vs 0.875% WI
- S&P 500 down 4 points to 2076
- Gold down 5 points to 1209
- US 10-year yields down 1 bps to 1.89%
- WTI crude up $1.68 to $53.81
- AUD leads, EUR lags
The US dollar was the star performer of New York trading. It went sideways for the first two hours of trading and then it began to creep higher, It continued to grind from there and with the occasional pop and finishing at the best levels of the day.
EUR/USD tumbled to 1.0835 in European trading on a stop run similar to the day before. It looked to be rebounding in early US trading but couldn't get above 1.0885 and then started a slow slide to 1.0804. It hasn't been able to break 1.0800, at least not yet.
USD/JPY climbed to 120.45, hitting some light stops, but not much, after it broke above the March 31 high of 120.37. It marks the two best days for the pair since Feb 11-12.
GBP/USD made three attempts at 1.4920 and failed each time. That was another queue for US dollar buying and that send the pound in a long slide to 1.4808.
USD/CAD climbed through 1.2500 but wasn't particularly strong and some selling pressure came late on the huge build in API inventories.
The rally in oil amazed us. The Saudis talked more supply, Goldman tried to talk down prices and the EIA warned about the impact of Iran's oil hitting the market but it was a one-way ride up to $54.00 until the API number and took prices down $1.
