Monday, June 1, 2015

Daily FX Update, 29 May 2015 OVERNIGHT MARKET UPDATE:




·         US initial jobless claims rose to 282k from an upwardly revised 275k last week. The four-week moving average also bounced modestly to 272k from 267k. Overall, initial jobless claims remain at low levels and are consistent with a broad suite of partial indicators that point to a further improvement in the labour market.   
·         Pending home sales in US increased 3.4% m/m in April, with the annual pace of growth little changed at 13.4%.
·         Euro area economic confidence indicators were mostly slightly stronger than expected in April. Economic confidence was unchanged, services confidence was a stronger than expected and consumer confidence printed in line with market expectations. Confidence has been lifted due to lower petrol prices and the tentative improvement in the labour market.
·         UK Q1 GDP growth was unrevised at 0.3% q/q. Consumer spending and business investment rose, while exports declined modestly. Overall, the UK economy remains on a firm footing and business surveys suggest that GDP growth is likely to pick up modestly in the near term.
·         In the currency markets, the AUD/USD tested cycle lows on the back of a weak Q1 capex report, while NZD/USD broke to new cycle lows after Fonterra and an RBNZ inflation report. An unrevised Q1 GDP sent GBP lower while EUR found stability.              
·         US data elicited little reaction in US Treasury markets. Ten year yields were up 1 bp to 2.14%, with a steepening in the curve.   
·         US equity markets retreated, not helped by concerns about Greece. US equities were down 0.1-0.2%  
·         Crude oil prices rebounded overnight, but still remain down over 4% in the past week. Wildfires in Alberta, Canada, the largest source of US crude oil imports has shut 233,000 barrels per day of crude output.              
Gold prices have inched higher after hitting a two and a half week low as the US dollar and global shares fell amid uncertainty about Greece staying in the euro zone.

No comments:

Post a Comment

Note: Only a member of this blog may post a comment.

Related Posts with Thumbnails