Forex news for North American trade on December 30, 2019:
- US November advance goods trade balance -$63.2B vs -$68.8B expected
- December Dallas Fed manufacturing index -3.2 vs 0.0 expected
- China could cut RRR in January - Global Times
- US November pending home sales +1.2% vs +1.3% expected
- ECB's Schnabel: Central bank should clarify its inflation goal
- US wholesale inventories for November 0.0% versus 0.2% estimate
Markets:
- Gold up $4 to $1515
- S&P 500 down 19 points to 3221
- US 10-year yields up 1 bps to 1.88%
- WTI crude oil down 9 cents to $61.64
- CHF leads, USD lags
There were some better signs on the US economy in today's data but it's all about flows at this time of year and the theme of US dollar selling was unhindered.
The dollar bears have certainly come out of hibernation on hopes for better global growth and that was the trade in Asia and Europe but in North America it was more of a theme of pure USD selling as USD/CHF and USD/JPY played catch-up.
USD/JPY started at 109.20 and slumped to 108.85 as selling kicked off at the New York open and ended at the London fix.
Cable was a larger mover early as it rose to 1.3150 at the high but sagged in the final 3-4 hours of the day back to 1.3107.
It was tough to weave a coherent market theme as the dollar rebounded late even as yield fell but that's what you get at this time of year. The next two days will be even more challenging.
