Forex news for US trading on April 28, 2016
- Forex trading video: GBPUSD bullish, but has some tough overhead resistance
- EURUSD trades higher. Stocks slide further in the red
- US stocks slide toward lows/US dollar moves lower as well
- Carl Icahn exits out of Apple
- USDCAD falls to new session/year lows
- US 7-year note yield at 1.634%. More than 1 basis point less than WI level
- Crude oil futures trades at highest level since December 4th
- Greek deal with creditors to come in a matter of days says Stournaras
- BNPP happy to ride EURUSD longs while the Fed stays on hold
- AUDNZD finding buyers near 200 day MA
- Italy rules the roost at the European close
- The EU doesn't want a messy divorce from the UK
- Kansas City Fed manufacturing index for April -4 vs -6 last
- What is the main reaction to US Q1 GDP?
- How did the Atlanta Fed GDP estimate do this quarter?
- Economy appears to be slowing in the very short term says Carney
- Dollar says "so what" to GDP numbers
- US initial jobless claims 257k vs 260k exp
- US Q1 advance GDP +0.5% q/q annualized vs +0.7% expected
- The word that bugs me in the FOMC statement
US GDP came out at +0.5%, lower than the expectations of +0.7%. Personal consumption was better than expectations at +1.9% (vs +1.7%) but less than 4Q 2.4% gains. Business investment was weak. The Core PCE was higher at 2.1% vs 1.9% expectations and that helped the dollar (or prevented a huge sell off). The initial employment claims came in at 257K vs 260K estimate. The employment trends remain positive.
Overall today, the USD fell. In fact it was the weakest currency among the majors. Most of the fall was against the JPY - which was sharply lower on the back of the BOJ's more hawkish /less dovish policy stance. a lot of the decline in the USDJPY occurred in the late Asian Pacific session. However after a corrective move higher in the NY session - that saw the price move up to 108.72 (this happened to the be the initial low after the BOJ decision - so good hold at resistance there) - the pair did reach a new low before the close on the back of a declining US stock market. Carl Icahn surprised the market by announcing he had sold his "no brainer" Apple position which scared the stocks lower.
The EURUSD had an up and down day but is closing higher. The late day sell off in stocks seemed to have given the pair a boost. The pair is closing above support at the 1.1333-48 area.
The GBPUSD is another pair that moved higher in the day but the path was up and down. Like the EURUSD it is trading near the highs but there is a bunch of overhead resistance against the 1.4621, 1.4638 and then 1.4665 area. There are good technical reasons to be long. The technical resistance above may put a lid on it though (see video on the pair by clicking here).
The USDCAD was weaker on the back of stronger oil today. The pair did find support against a lower trend line toward the end of the day and bounced.
Crude oil futures closed higher in trading today (+1.13%). US debt markets saw the yields fall 2-3 basis points across the board. Gold rose by 1.69% and the CRB commodity index increased by 0.37%
After the close AMZN and LinkedIn announced stronger
Below is a look at the major currency pairs and the winners and losers. The JPY was the strongest against it's peers, while the USD was the weakest.