Forex headlines for June 10, 2014:
- US April JOLTS job openings 4455K vs 4050K expected
- April US wholesale inventories 1.1% vs 0.5% exp m/m
- NIESR says UK economy surpassed pre-recession peak
- Dijsselbloem says he’s sure Q2 will show growth all over Europe
- BOC’s Poloz to hold special press conference to warn on financial stability
- ECB sees several banks needing considerable write offs says Mersch
- ECB does an excellent job says Schaeuble
- With retail sales soft, Australia blames warm weather
- New Zealand shadow board sees rate hike
- Gold up $8.50 to $1261
- WTI crude up 7-cents to $104.48
- S&P 500 down 1 points to 1951
- NZD leads, EUR lags
It’s not often that the JOLTS survey is a market driver but Yellen likes the survey of job openings and it boosted the US dollar with a strong rise to a 7-year high.
USD/JPY was at a session low at 102.22 ahead of the report and climbed up to 102.42 afterwards. The low and the high both exceeded the European ranges but there was no follow through in either direction and we’re hovering at 102.33.
The euro was stuck near the lows of the day in a 1.3535 to 1.3555 range. The pair tried the upside in the early going but slipped on the Mersch comment. The periphery bond market weakened today and boosted Italian yields 10 bps to 2.81% but it did little for the euro. The post-ECB low of 1.3503 is in focus but there are large 1.3525 expiries tomorrow to reckon with. Last at 1.3546.
Cable initially feel with the euro in European trading but unlike EUR, it continue to slide, carving out a series of lower lows before finding some support at 1.6743. After London went to the pub it bounced up to 1.6758 but remains soggy at 1.6752.
AUD/USD spiked up to 0.9348 along with the jump in gold early in US trading but the spike didn’t hold up and the JOLTS surprise added more weigh to pull the pair down to 0.9360. The overall picture is buoyant with some higher lows building on the short term chart. Last at 0.9374.
USD/CAD tried a run to the upside but couldn’t get through 1.0920 and slid back to 1.0905 after a foray through the big figure in Asia.
