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The USD fell vs the JPY as the USDJPY continued its move to the downside today and looks to test its key 100 day MA and low from last Friday at 155.36.
Against all other major currencies, the USD was stronger.
The weakest of the major currencies were the AUDUSD and the NZDUSD as they continue to be sold on the back of slower growth in China.
The USDCAD traded higher today on the back of oil continuing its move lower. The price of oil fell for the 4th consecutive day, as traders react to slower growth in China. The BOC will also announce its latest interest rate decision tomorrow at 9:45 AM ET. The market is expecting a 25 basis point cut in the target rate to 4.50% from 4.75% and that too may be contributing to recent softness in the USDCAD. Technically, the pair is looking to test topside swing area resistance between 1.3784 and 1.3803. Getting above would be more bullish. A move below 1.3734 would disappoint recent buyers.
Today the Richmond Fed Manufacturing index came in weaker than expected at -17 vs -7 expected. Existing home sales was also weaker than expected has inventories increased but so did prices (new record).
US yields were little changed today. The US treasury sold $69B of 2-year notes without a problem thanks to strong/record demand from foreign buyers.
Stocks closed modestly lower after trading higher for most of the day. The Dow fell -0.14%, the S&P fell -0.16% and the Nasdaq fell -0.06%.
This article was written by Greg Michalowski at www.forexlive.com.
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