Forex news for
- US June advance retail sales +0.5% vs +0.5% expected
- US May business inventories +0.4% vs +0.4% expected
- US Empire manufacturing index for July 22.6 vs 21.0 expected
- Fed's Kashkari releases essay on flattening of the yield curve
- Atlanta Fed GDPNow 4.5% vs. 3.9% last
- Putin: Allegations of meddling are complete nonsense
- Trump says spent a great deal of time talking about Russian meddling
- Putin: talks with Trump were open, productive and business-like
- IMF maintains 2018 and 2019 global growth forecasts from April, but sees risks
Markets:
- Gold flat
- S&P 500 down 3 points to 2798
- US 10-year yields up 2.5 bps to 2.85%
- WTI crude down $2.95 to $68.08
- Swiss franc leads, AUD lags
The US dollar was soft in the leadup to the retail sales report but stabilized afterwards and traded sideways for most of the day. The headlines were modest but the revisions to the prior were solid and that was enough to awaken the US dollar bulls.
Cable had been as high as 1.3293 but sagged to closer nearly flat on the day at 1.3237.
EUR/USD traded in a tight range near 1.1700-1.1725. There was some selling after the London close but bids at 1.1690 held and the euro finished near 1.1715.
USD/JPY was quiet but with a downward bias and ended down 12 pips to 112.26 as US stocks edged lower late.
The big moves were in oil as crude dropped 4.2% but it didn't hurt the Canadian dollar. In fact, USD/CAD fell 22 pips to 1.3139 in a move that left plenty of people scratching their heads, especially since the White House also announced it would take Canada to the WTO on its retaliatory tariffs.
The other commodity currencies finished US trading lower after making gains earlier.
Afterhours, the big story is tech with shares of Netflix down 14% and pulling down tech futures.
