Forex news for US trading on July 26, 2016
- June 2016 US new home sales 592k vs 560k exp
- US July Consumer confidence 97.3 vs 96.0 prior
- July Richmond Fed manufacturing index +10 vs -5 expected
- July 2016 US Markit services PMI flash 50.9 vs 52.0 exp
- May 2016 US Case Shiller 20 city HPI -0.1% vs -0.1% exp m/m SA
- Belgian July business confidence +1.0 vs +0.7 prior
- July 2016 US Philly Fed non-manufacturing index 28.8 vs 10.8 prior
- Italy racing to secure private bailout for Monte Paschi - FT
- US sells 5-year notes at 1.180% vs 1.165% WI bid
- Fitch sees US debt-to-GDP ratio rising 8 percentage points through 2025
- French June jobseekers rose 5.4K vs -13K exp
- July 2016 US Dallas Fed Texas services sector outlook -1.3 vs -7.7 prior
Markets:
- Gold up $4 to $1320
- WTI crude down 31-cents to $42.82
- S&P 500 flat at 2169
- US 10-year yields down 1.2 bps to 1.56%
- JPY leads, CHF lags
It was nice to see a day when data played a big role. The headline-grabber was home sales, which adds more credence to the idea that the US consumer and US economy is feeling good.
The dollar bid afterwards was a bit of a slow burner and it peaked about an hour afterwards in a trend that looks like it also got some help from dollar demand into the London fix. That's around the time that EUR/USD bottomed for the day at 1.0978 and cable spilled to 1.3058 as it hit an air pocket.
USD/JPY was the story early with the market taking the view that rumours of less-dazzling fiscal stimulus will mean less-dazzling BOJ moves on Friday. The low at 103.99 was early in Europe and it slowly climbed to 104.94 in the US afternoon.
EUR/CHF held a bit of a mystery bid. There was some talk about the SNB as the pair slowly rallied to 1.0900 from 1.0835.
USD/CAD took a break after a touch of a fresh cycle high didn't attract any follow through. Oil stabilized and there was a slow chop lower down to 1.3182. Even with the Asian low breaking, there wasn't any follow through on that side either.
