The strongest and weakest currencies as North America enters (April 10, 2015)

April 10, 2015: JPY is a strongest. EUR is the weakest.

As North American traders enter for the trading day, the JPY is the strongest currency, while the EUR and GBP are the weakest.

• The Bank of Japan Deputy Gov. Nakaso told Reuters that a cut in BOJs inflation forecast would not be enough to justify more monetary easing.
• The EUR although industrial production was stronger than estimate in France (unchanged vs. -0.1% est) and Spain (+0.6% vs +0.1% est.), the EURUSD continued to trend lower.
• A report that central banks don't EUR in anticipation of QE has put into question the potential for the euro becoming a reserve currency at some point. This helped contribute to the negative bias.
• In the UK, industrial production for February came in weaker at 0.1% vs. 0.3% estimate (MoM. YoY was also weaker at +0.1% vs +0.3% est). Construction Output for February was much weaker than expectations at -0.9% (estimate +2.2%). This came after a -2.5% decline in January
• The USD is strong today, only down marginally against the JPY
• Canada Employment will be released at 8:30 AM. The expectations is for unemployment rate to rise to 6.9%. The net change in employment is expected to be unchanged.
• Import price index for the US is expected to decline by-0.4% in March. The price of imports for the year is down -10.2%.