Forex news for June 22, 2015:

  • May 2015 US existing home sales 5.35m vs 5.25m exp m/m
  • May 2015 US Chicago Fed national activity index -0.17 vs +0.16 exp
  • June 2015 Eurozone consumer confidence flash-5.60 vs -5.80 exp
  • ECB QE count: Total PSP 182.22bn vs 170.25bn prior
  • EU's Junker: I reckon there will be a deal this week
  • Draghi told Tsipras Greek banking system safe with Greece in program
  • Greece is rescued says Stathakis
  • Dombrovskis: EU gave a cautious welcome to Greek proposals
  • Dombrovskis: Greek situation doesn't look as hopeless as it did
  • Greek government leaks latest proposal
  • Hollande says tonight's meeting on Greece won't produce results
  • Bank of England's Cunliffe: Getting close to using spare labor capacity
  • Gold down $14 to $1185
  • WTI crude up 7-cents to $59.68
  • S&P 500 up 13 points to 2123
  • US 10-year yields up 12 bps to 2.37%
  • USD leads, NZD and JPY lag

No surprise it was all about Greece today with the US calendar light. Most risk-sensitive asset classes enthusiastically cheered the deal but Greek but the euro will finish the day close to flat at 1.1344. It climbed to 1.1400 in Europe, dropped down to 1.1311 then rebounded to 1.1408 then back down to 1.1342. The good news is that the lows are slightly higher each time. The reason it didn't climb higher was that a surge in bund yields (+13 bps) cleared out some carry trades.

USD/JPY was a big winner on the day and finished near the highs at 123.40. Most of the gains came in Europe as risk appetite improved and stocks surged. Rising Treasury yields kept a bid under the pair but it will be about data in the day ahead with durable goods orders on the docket.

Cable finally relented after gains in 9 of 10 days. Despite a 60-pip loss in GBP/USD, the pound was up on most of the crosses today in another sign of just how perky the pound has grown. Cunliffe's comments had little effect.

Oil was flat on the day but the loonie was hit hard as USD/CAD jumped to 1.2322 from 1.2220, all in US trading. The lower end of the range has repeatedly shown good buying interest and it finally sprung higher.

Part of the reason was generally commodity FX weakness (and USD strength). The Aussie followed a similar, albeit less dramatic decline down to 0.7720 from 0.7770 in US trading.