* Canadian Retail Sales fall 0.8% in April and fall 0.5% ex Autos, much lower than expectations.
* Fed’s Hoenig – Fed has put an enormous amount of liquidity into system, risks inflationary outbreak if it is not withdrawn. Fed thinking very seriously about exit strategy. Confident US economy will recover, helped by policy stimulus, inflation a longer term issue.
Not much in the way of “events” in the NY session. Itwas all meandering to a very lacklustre end to the week, until widespread Dollar selling saw Eur/Usd and Cable hit their high for the week at 1.4012 and 1.6563 respectively.
Usd/Yen underperformed in comparison meeting bids at 96.00.
Oil ended almost $2 lower and the Dow falls 20 points, while Bond futures and Eurodollar strip reversed a lot of yesterday’s Philly Fed inspired sell-off.
Thanks everyone for all their comments this week. Have a relaxing weekend.
