Forex news for US trading on October 5, 2015:
- September 2015 ISM non-manufacturing PMI 56.9 vs 57.5 exp
- ISM's Nieves says a slowdown in retail was linked to stocks and confidence
- September 2015 US Markit services PMI final 55.1 vs 55.6 exp
- Fed's Rosengren says he's confident FOMC can get FFR in range
- Tspiras says he will propose loan maturity extension
- It's too early to talk about delays in the Greek plan says Schaeuble
- Moscovici: Spain risks missing budget targets
- Saudi's Naimi says OPEC share of the oil market will increase
- Paul Tudor Jones: The Fed is worried about the size of its balance sheet
- Gold down $3 to $1135
- WTI crude oil up 85-cents to $46.39
- S&P 500 up 36 points to 1987
- US 10-year yields up 6 bps to 2.89%
- NZD leads, JPY lags
The big story on the day was the stock market as the S&P 500 gained 1.8% and European stocks were up around 3% in a continuation of Friday's post-NFP turnaround.
EUR/USD rose up to 1.1289 in Europe but had already stumbled back to unchanged near 1.1225 as US traders rolled in. A heavy wave of selling came on the European close as it broke the post-NFP low of 1.1198 and hit stops down to 1.1175. It was all sideways from there.
USD/JPY completed the NFP roundtrip but the work was mostly done in Europe and Asia. USD trading saw it add another 25 pips, which is surprisingly little given the moves in stocks and bonds.
Cable slide down below 1.5160 in a quick move to 1.5140. The BOE is coming up later this week in what is yet-another decline for the pound. Watch last week's lows near 1.5100.
USD/CAD declined for the fourth day in a 66 pip decline. Again, the move generally came in Europe and we didn't reach the session low in North American trading. Instead, it was a sideways chop around 1.3090.
The Australian dollar is the focus of upcoming trading with the RBA decision due at 0330 GMT. AUD/USD was hit by some selling early in US trading in a fall down to 0.7060 but recovered to 0.7085.
For all the excitement in stocks, it was a hoppy/sideways-kinda day in FX.
