Forex news for NY trading on April 19, 2018
- Stocks end the session lower. S&P back below 100 day MA.
- BOJ Kuroda: Protectionism isn't good for world economy
- Rosenstein is said to tell Trump he is not a target of the Mueller probe: Bloomberg
- IMF Lagarde: She's a bit disappointed with world trade affairs
- Mnuchin: Sanctions are a very important tool.
- Canada Freeland: NAFTA teams are in constant negotiating round
- GBPUSD tumble turns the trading bias around
- Forza Italia lawmaker Brunetta says party not willing to offer support to 5-Star coaltion
- Cable plunges below 1.41 after Carney frets about mixed economic data
- USD/CAD climbs above the Bank of Canada highs but risks loom
- BOE's Carney: I don't want to get too focused on the precise timing of the next hike
- Deutsche Bank briefly lost 28 billion euros in transaction error
- Outside day could bring more pain in AUD/USD
- Audio recap: EUR/CHF finally kisses 1.2000
- Bonds boost the US dollar across the board. EUR/USD hits the low of the day
- Nickel explodes to the best levels since 2014. Aluminum up 30% this month
- OPEC, non-OPEC panel finds oil inventory overhang virtually eliminated - report
- Natural gas hasn't joined in the commodity party
- Barclays cuts Q1 US GDP forecast to 1.5% from 2.5%
- BOE's Cunliffe: Worried trade tension will spill over to other areas
- Kraken says it will not cooperate with NY Attorney General request for info
- Bond worries: Returning soon to a market near you
- Canada ADP March employment 42.8K vs 32.7K prior
- April Philly Fed 23.2 vs 21.0 expected
- Weekly US initial jobless claims 232K vs 230K expected
- Fed's Brainard: Inflation well anchored by some signs of imbalances
- Forexlive European/UK FX News: UK retails sales bad miss in March
A snapshot of other markets near the end of the NY session is showing:
- Spot gold down $3.13 or -0.23% at $1346
- WTI crude oil futures fell $.32 or -0.47% to $68.15
- Bitcoin is trading of $53 to $8237. The high reached $8300 while the lower extended to $8101 in a relatively narrow trading range day
In the US stock market today the major indices were lower:
- The S&P index fell -0.57%
- The NASDAQ composite index fell -0.78%
- The Dow industrial average fell -0.34%
In the US that market yields were higher, and the yield curve steepened:
- 2- year 2.427%, unchanged
- 5 year 2.756%, +2.6 basis points
- 10 year 2.911%, +3.9 basis points
- 30 year 3.101%, +4.1 basis points
The USD was the strongest currency today but the gains were largely against the GBP, NZD and the AUD. The GBP was the weakest currency.
The GBPUSD was the runaway weakest currency pair (0.85% change on the day). In the NY afternoon session, the BOEs Carney said "I don't want to get too focused on the precise timing of the next hike", and he started to fret about the mixed economic data.
The market had penciled in a hike for the May meeting. Some of that enthusiasm was taken away on the back of his comments. You can read the main headlines HERE.
The GBPUSD had a near 180 pip trading range, far surpassing it's 22 day average range by about 75 pips. It is ending down about 121 pips on the day.
The GBPJPY was also hurt by the comments. It fell -112 pips on the day and also had an oversized range vs the norm.
The NZD and the AUD were also week today, and pretty much mimicked each other as well. They each fell vs. the USD, EUR, JPY, CHF, and CAD, rose vs the GBP and was unchanged vs each other. Inflation data out of NZD showed YoY inflation at 1.1%. That is well below the 1.6% from the prior quarter and well below the lower inflation target of 2.0%.
Australia's job data came out weaker than expected and that too helped contribute to selling in that currency.
The USD was a beneficiary of the "other's stories" today. Jobless claims and Philly Fed were close to expectations.
