Dollar spikes higher on higher growth but price data lower. Inventory adds 0.65%

Dollar moves higher but rebounds

The USD spiked higher on the GDP but there was some cause for pause as ithe price data core PCE was lower at 1.3% (was 1.8% in the 4th quarter). The GDP price index came in at 0.9% vs 1.7% last quarter. Inventories added 0.65% this quarter. Business investment was good at 2.7%. Consumer spending backed off to 1.2% (from 2.5% last quarter).

The EURUSD fell to a low of 1.11094 - making a new low for the year and going back to 2017, but the price is now back above where it started at 1.11325. The price moved up to a post release high at 1.1145 and trade just off that level at the moment (at 111.41).

For the USDJPY, the pair started at 111.76, moved up to 112.00 and moved back to a low at 111.65. We currently trade lower at 111.68.