AUTOREFRESH 
New York forex wrap-up; EUR/USD extends range modestly
- Geithner: We support a strong dollar. The dollar will remain the principal reserve currency. The dollar’s role in the international financial system places special responsibilities on the United States, to sustain confidence in our financial system, to bring our fiscal deficits down when recovery is in place, and to preserve the Fed’s strong record of price stability.
- JP Morgan sees a leveling off of mortgage delinquencies in last 60-90 days
- US jobless claims fall 47,000 to 522,00; continuing claims tumble; Seasonal distortions still evident
- IMF: UK needs credible plan to ease debt burden or risks losing market confidence
- Philly Fed survey falls to -7.5 versus -2.2 in June
- US TIC data shows net outflows in May
- NAHB builder confidence rises to 17 in July from 15 in June
- Nouriel Roubini sees worst behind US economy; recession to end this year
- US equities add to gains; S&P 500 gains 0.9% to 941
EUR/USD saw very large buying late in the London morning as A US investment banked ramped it as high as 1.4153 after JP Morgan’s strong earnings report. Steady selling from China in the 1.4140/50 area helped stall the rally but dips were limited to a pip or two below 1.41. An improbably large, seasonally-distorted jobless claims report sparked a jump to 1.4165 briefly before another dip to just below 1.41. A final rally to 1.4150 was seen late in the day as Dr Doom lifted his gloom and stocks broke out of a lethargic range and taken on another 8 points. They are up nearly 6% on the week.
JPY crosses perked up late in the day after consolidating for much of the session. EUR/JPY rallied a JPY from its lows and AUD/JPY recovered late in the day as well. EUR/JPY ends at 132.60.
Cable had a quiet US session and ends around 1.6425. Hourly trendline support comes in at 1.6410. Some small trailing stops may lie below that level.
NEW YORK (Dow Jones)–Comments by prominent bearish economist Nouriel Roubini that made the stock market rise Thursday actually weren’t even new or improved comments, said the man called “Dr. Doom.”
Various media reports on Thursday framed Roubini’s comments at a Chilean investors’ conference as an improved outlook on the U.S. economy. Reports had circulated that the man credited with calling the global economic crisis all the way back in 2006 was calling an end to the recession in 2009, a purported change from his earlier view that recovery wouldn’t come until 2010.
However, an afternoon release from Roubini said the views he presented at the conference were no different than his previous views.
“I have said on numerous occasions that the recession would last roughly 24 months. Therefore, we are 19 months into that recession. If, as I predicted, the recession is over by year end, it will have lasted 24 months, with a recovery only beginning in 2010. Simply put, I am not forecasting economic growth before year’s end,” said Roubini.
The S&P 500 rose 1.5%, from 930 to 944, in the half hour after Roubini’s comments.