- US new home sales rise 11.1% in March
- ECB’s Liikanen: ECB will forestall second-round inflation effects; Greek debt restructuring would not fix fundamental economic problems
- Silver remains a market focus; dollar strengthened intraday after dip below $46 from above $49 intraday’ Closes at $47.25
- S&P keeps California credit outlook negative
- S&P 500 falls 0.2%
- US 10-year note yield falls 3 bp to 3.36%
- Oil falls $0.06 to $112.23; gold closes at $1508
A very quiet US session following a European session in which most major centers were closed for Easter Monday.
EUR/USD opened above the 1.46 level on strong rallies in gold and silver overnight but profit-taking in those two metals helped prompt some profit-taking on long EUR/USD and AUD/USD positions.
Small stops were triggered below intraday support at 1.4590 and 1.4560, sending EUR/US to US lows of 1.4539.Heavier stops below 1.4520/25 support were left untouched amid the usual talk of central banks remaining in by-dips mode. Rallies stalled at the 1.4590 level this afternoon.
AUD/USD lost some ground intraday, slipping as low as 1.0686 as metals fell on profit-taking. Copper was particularly hard hit, down 3% at one point, amid fears that rising energy and food prices will crimp global growth, hurting industrial demand for copper. AUD bounced back marginally during a quiet afternoon and ends at 1.0720.
USD/JPY tested support in the mid-81.60s as lower US yields undermined the greenback. Ongoing Greek restructuring jitters weighted on EUR/JPY. Kampo bids are rumored in the 81.50/60 area; large stops are rumored below 81.35…
