Today is virtually in the inverse opposite of yesterday and if you combine the two days, what’s left?

EUR, JPY, CHF and GBP are all virtually unchanged since the start of the week. The only movers have been the commodity currencies.

Two day forex returns vs USD

Two day forex returns vs USD

One way to look at it is that the market over-reacted yesterday and it’s correcting today after the retail sales report soothed nerves. The ability to wipe out some sizeable looses is good news for yen crosses and risk assets (except lowly CAD and perhaps AUD).