Forex news for US trading, May 28, 2015:

  • US initial jobless claims 282k vs 270k exp
  • April 2015 US pending home sales 3.4% vs 0.9% exp m/m
  • Japan's Aso says recent currency moves were rough
  • IMF: Greece hasn't asked to bundle up June payments
  • EU official says no deal with Greece by Sunday
  • US EIA crude inventories -2802k vs -1200k exp
  • Canada Q1 current account balance -$17.5B vs -$18.6B expected
  • Saudi Aramco could raise oil and gas rigs up to 250 if prices rise
  • Gold flat at $1188
  • WTI crude oil up 27 cents to $57.77
  • US 10-year yields up 1bps to 2.13%
  • US 2-year yields down 2.5 bps to 0.625%
  • S&P 500 down 4 points to 2119
  • CHF leads, NZD & AUD lag

There was an ebb and flow to trading on Thursday moreso than the mad-dash to buy dollars that's been the recent theme.

EUR/USD was perky in Europe and it looked to be a day of consolidation after the recent drop but the theme quickly changed at the start of US trading as the pair skidded to 1.0900 from 1.0950. Consolidation in the 1.0880 to 1.0900 range followed but a brief dip even lower was a signal to take profits on shorts and the pair rebounded to 1.0950, finishing near the highs of the day.

USD/JPY followed a different path. It's in sharp focus after the overnight break of the 2007 high of 124.14 but there wasn't much follower through with only a high of 124.46 and then Aso's comments hit and it was a quick rush to exits down to 123.63. Impressively, there was good demand there and the pair rebounded to 124.00 but it looks like the close will be below the 2007 high. That will remain a key level to watch Friday.

Cable didn't get the same kind of bounce as the euro. After skidding along the session low near 1.5275 a mild US afternoon bid arrived but could only muster a rally to 1.5325. It finishes lower on the day as the downtrend continues.

USD/CAD reversed alongside oil. The session high of 1.2538 came after US pending home sales data but a bullish oil report helped to turn the tide and the pair finished more than a cent from the highs in a potential reversal.

AUD/USD wasn't so lucky as yesterday's capex report continued to weigh. The pair bounced to 0.7650 from 0.7620 but still finished 80 pips lower on the day.