Article provided by FxPro, an industry-leading online broker regulated by the FCA. The ECB will be choosing their words carefully at their forthcoming monetary policy meeting. It is likely that the wording used will determine the future direction of the single currency, which has been trading in a range against the U.S. dollar for the…
A new deal would need to be ratified The White House may be forced into a game of brinkmanship to get a new NAFTA deal approved. Politico today reports on some of the problems of getting congressional approval.
Upbeat comments from Weidmann on Germany – Don’t see any reason to assume we’re at an economic turning point, we’re still experiencing economic boom – Says ‘air is getting thinner’ in German economy Economic boom? If that’s an economic boom, then what do you call 6% growth in China?
Eurozone April consumer confidence data – Prior was -0.10 There was a skew in the polls with Reuters at -0.20 and Bloomberg at -0.10. This is the best reading since +1.4 in January. It’s also a rare piece of good news for the Eurozone after months of missing estimates.
Comments from Barkindo – The OPEC/non-OPEC agreement rescued the oil industry from imminent collapse – The OPEC-led supply cut deal has not only arrested the decline, but rescued the industry Well now that’s taking it too far. The oil industry wasn’t doing great, but it wasn’t collapsing. However, there probably would have been a total…
Calls prices artificially high This tweet doesn’t make a lot of sense, but it is 4/20 after all.
EUR/USD falls below the April 11 low The euro has stumbled for the second day and is now down 60 pips to a session low of 1.2287. In the short-term, the move is about a stronger dollar. Higher Treasury yields have been the story late in the week and that’s helped to underpin the dollar.
Canadian data on the docket USD/CAD is a quarter-cent lower on the day to 1.2646 but the drama has just begun. At the bottom of the hour, we will get February retail sales and March CPI. For retail sales, focus on ex-autos, which are forecast to rise 0.4%.
Canada March consumer price index data – Prior was +2.2% – CPI +0.3% m/m vs +0.4% m/m expected (prior +0.6%) – Core common +1.9% vs 1.9% prior – Core median +2.1% vs +2.1% prior The core measures were all expected to tick higher but instead were flat or slightly lower. The entire report is a…
Canada February retail sales data – was +0.3% (revised to +0.1%) – Prior ex autos +0.9% (revised to +1.0%) The ex-autos number is poor and it comes with a weak CPI reading. All in all, USD/CAD is higher and that’s the right reaction to the numbers.