Daily Market Outlook by Kate Curtis from Trader's Way

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USD

The US dollar was dumped after the FOMC statement when their tone was less hawkish than expected. Fed officials downgraded growth and inflation forecasts while showing median expectations of two rate hikes for the year down from four. Fed head Yellen highlighted the weaker global growth as their main reason for staying cautious and for seeing downside risks, also citing that the improvements in the jobs market only have a modest effect on inflation. Philly Fed index, initial jobless claims, and current account balance are due today.

EUR

The euro took advantage of dollar weakness but lost ground to comdolls on risk appetite. There were no major reports out of the euro zone yesterday while today has the final CPI readings due. No revisions from the headline reading of -0.2% and the core reading of 0.7% are expected.

GBP

The pound was also able to advance against the safe-havens but was no match to comdoll strength. Data from the UK was actually stronger than expected, as the number of claimants fell 18K in February versus the projected 8.8K decline. The average earnings index improved from 1.9% to 2.1% to show stronger wage growth. However, traders appear to be careful ahead of today’s BOE statement, although no actual policy changes are expected.

CHF

The franc managed to outpace the dollar in recent trading sessions despite the lack of top-tier data from Switzerland. Today has the SNB decision on tap and no actual policy changes are expected, although some jawboning might take place especially since the ECB just pumped up their stimulus efforts.

JPY

The yen lost ground when risk appetite picked up after the FOMC statement. There were no major reports out of Japan yesterday while the trade balance released a few hours back missed expectations. BOJ Governor Kuroda has a testimony lined up today and might spur volatility for yen pairs.

Commodity Currencies (AUD, NZD, CAD)

The comdolls were big winners in yesterday’s sessions, as a smaller buildup in crude oil inventories was reported and New Zealand printed a strong GDP reading. The economy grew 0.9% in Q4 2015 versus expectations of a 0.7% expansion. US crude oil inventories rose only 1.3 million barrels instead of the estimated 2.9 million rise. Australia’s jobs report is up for release next.

By Kate Curtis from Trader’s Way

USD

The US dollar lost ground as risk appetite was in play during the earlier trading sessions, but it consolidated against most of its counterparts when price action calmed down during the US session. Only medium-tier reports were released from the US and these came in mostly stronger than expected with the exception of the current account balance. For today, the preliminary UoM consumer sentiment index is due, along with some speeches from FOMC officials.

EUR

The euro was able to squeeze out more gains yesterday when the final core CPI reading for the region was upgraded from 0.7% to 0.8%. ECB Governor Draghi also had a few optimistic remarks about seeing improvements in the economy during his testimony in Brussels. Only the German PPI is up for release from the euro zone today and a 0.2% decline in producer prices is eyed.

GBP

The pound made a strong rally after the BOE statement when policymakers decided to keep interest rates and asset purchases on hold. The minutes seemed less dovish than expected, as officials didn’t take the opportunity to jawbone the currency or give more downbeat comments. Still, policymakers noted that Brexit concerns are preventing them from making any adjustments in the near future. There are no major reports due from the UK today.

CHF

The franc was able to score some wins against the euro and the US dollar, despite weaker than expected Swiss PPI. Producer prices fell 0.6% instead of showing the projected 0.2% uptick. There are no reports due from the Swiss economy today.

JPY

Yen pairs had a sudden bout of volatility at the start of the US session but it’s not clear what caused the quick moves. There were no major reports out of Japan yesterday and today had the BOJ meeting minutes lined up.

Commodity Currencies (AUD, NZD, CAD)

The comdolls consolidated to the dollar and returned some of their recent wins to the pound and euro. Australia’s jobs data missed expectations with a meager 0.8K gain in hiring versus the projected 11.6K increase, although the jobless rate dropped to 5.8%. Canadian wholesale sales was also weaker than expected at 0.0% versus the projected 0.3% gain. Canada’s CPI and retail sales figures are due today.

By Kate Curtis from Trader’s Way

USD

The US dollar returned some of its recent gains when Fed Chairperson Yellen sounded extra cautious in her latest speech. She noted that more caution is warranted if the Fed should tighten monetary policy and that they have a range of tools left to ease if necessary. She also pointed out that global economic and financial risks have increased, even though the employment and domestic spending situation remains robust. The CB consumer confidence posted a stronger than expected reading of 96.2 from the earlier 94.0 figure. The ADP non-farm employment change report is due next and a 195K gain is eyed.

EUR

The euro advanced to the dollar but struggled to hold on to its current levels against its other forex rivals. There were no major reports out of the euro zone yesterday and only the German preliminary CPI reading is due today. Analysts are expecting to see a 0.6% pickup in price levels.

GBP

The pound advanced to the dollar but was also slightly weaker compared to its other peers as there were no major reports out of the UK. There are still no major reports lined up from the UK economy today, keeping market sentiment in play.

CHF

The franc regained ground to the US dollar despite the lack of data from Switzerland. Today has the UBS consumption indicator on tap and a rise from the earlier 1.66 figure could mean more gains for the Swiss currency.

JPY

The yen managed to hold on to its recent gains as risk appetite remained weak in the forex market. Data from Japan has been mixed, with its latest preliminary industrial production figure falling short of consensus. The report showed a 6.2% fall versus the projected 5.8% decline.

Commodity Currencies (AUD, NZD, CAD)

The comdolls were able to advance against most of their counterparts as Fed head Yellen’s dovish rhetoric supported business and consumer confidence. Leading inflation indicators from Canada missed expectations while New Zealand’s building consents report posted a 10.8% rebound. US crude oil inventories data is due next.

By Kate Curtis from Trader’s Way

USD

The US dollar got back on its feet recently, buoyed by stronger than expected ADP jobs data for March. According to the agency, the US economy added 200K versus the estimated 195K positions in March, setting the tone for a potential upside surprise in tomorrow’s NFP. For today, initial jobless claims and the Chicago PMI are due.

EUR

The euro retreated against the dollar but advanced against its other forex peers, thanks to stronger than expected data. The German preliminary CPI came in at 0.8% versus the estimated 0.6% increase and the previous 0.4% gain. For today, German retail sales, French consumer spending, and preliminary French and Spanish CPI data are due.

GBP

The pound was in a weak spot against most of its forex counterparts since there were no reports to keep the currency supported yesterday. Today has the final GDP reading and current account balance on tap, along with a testimony by BOE Governor Carney. Dovish remarks could keep the currency’s gains in check while reassuring comments could give it a boost.

CHF

The franc weakened to the dollar but was able to hold on to its gains against its other rivals when data from Switzerland beat expectations. The KOF economic barometer dipped from 102.6 to 102.5, higher than the projected 101.9 figure. Meanwhile, the UBS consumption indicator improved from 1.45 to 1.53.

JPY

The yen had a volatile run as it initially weakened against its counterparts but regained ground later on. Only the housing starts report is due today and a 2.2% decline is eyed. The results of the Tankan survey are up for release in the next Asian trading session.

Commodity Currencies (AUD, NZD, CAD)

The comdolls were able to score some gains due to the rally in crude oil after the release of better than expected US inventories data. Stockpiles rose by only 2.4 million barrels versus the estimated gain of 3.1 million barrels. However, a survey also revealed that OPEC nations ramped up production by 100K barrels per day in March, keeping oversupply concerns in play. Canada’s monthly GDP is due next and a 0.3% growth figure is eyed.

By Kate Curtis from Trader’s Way

USD

The US dollar had a volatile run as it initially sold off but was able to recoup its losses later on. Data from the US economy came in mixed, with initial jobless claims slightly missing expectations and the Chicago PMI coming in above consensus. According to Fed official Dudley, negative interest rates aren’t an option for the US economy just yet. The NFP is due today and a 206K gain in hiring is expected.

EUR

The euro was able to rake in gains when most of the data from the region came in stronger than expected. Only the German retail sales, Spanish flash CPI, and German unemployment change fell short but the French consumer spending, preliminary CPI, and euro zone final CPI readings posted strong readings. Final manufacturing PMI readings are due from the top euro zone economies today.

GBP

The pound was one of the weaker currencies as the UK current account balance posted a record deficit, overshadowing the positive revision in the Q1 GDP from 0.5% to 0.6%. The UK manufacturing PMI is due today and a rise from 50.8 to 51.4 is expected.

CHF

The franc advanced to the dollar despite the lack of data from Switzerland, as the currency likely took its cue from the euro. Swiss retail sales is due today and a 0.5% year-over-year increase is eyed.

JPY

The Japanese yen took advantage of the risk-off environment spurred by its downbeat Tankan survey results. The manufacturing component fell from 12 to 6, worse than the estimated drop to 8, while the non-manufacturing component slid from 25 to 22 instead of just dipping to 24. No other reports are due from Japan today.

Commodity Currencies (AUD, NZD, CAD)

The comdolls reacted positively to the Chinese PMI releases, as both the official and Caixin versions of the report printed improvements. The former climbed from 49.0 to 50.2 while the latter rose from 48.0 to 49.7. In Canada, the monthly GDP showed a 0.6% expansion versus the projected 0.3% growth figure. No other reports are due from the comdoll economies today.

By Kate Curtis from Trader’s Way

USD

The US dollar got a boost from stronger than expected NFP data last Friday, as the economy added 215K jobs versus the expected 206K increase. While the jobless rate rose from 4.9% to 5.0% this was mostly a result of a larger labor force participation rate, indicative of stronger confidence in job prospects. Also, the ISM manufacturing PMI rose from 49.5 to 51.8 to indicate a much stronger than expected pace of expansion in manufacturing. For today, only the factory orders and labor market conditions index are due.

EUR

The euro was able to advance against the pound but it weakened against most of its other currency rivals, especially against the commodity currencies. Data from the euro zone was mostly stronger than expected for Friday, except for the Spanish manufacturing PMI. Spanish unemployment change data and the euro zone Sentix investor confidence figure is due today.

GBP

The pound was one of the weakest performing currencies, weighed mostly by weaker than expected manufacturing PMI and downbeat data earlier in the week. The PMI climbed from 50.8 to 51.0, lower than the estimated rise to 51.4. The construction PMI is due today and a rise from 54.2 to 54.3 is eyed.

CHF

The franc gave up ground to the dollar as data from Switzerland came in mixed. Retail sales showed a 0.2% decline instead of the estimated 0.5% uptick while the manufacturing PMI jumped from 51.6 to 53.2. There are no reports due from the Swiss economy today.

JPY

The yen was also able to rake in some gains against the European currencies but was no match to comdoll strength. Data from Japan earlier that day was mostly weaker than expected, as the Tankan readings fell short of expectations and showed declines. There were no reports out of Japan today.

Commodity Currencies (AUD, NZD, CAD)

The comdolls retreated to the dollar but were able to recover towards the end of the US session. Earlier today, Australia’s data came in mixed, as building approvals were up 3.1% while retail sales stayed flat. BOC Governor Poloz has a speech coming up.

By Kate Curtis from Trader’s Way

USD

The US dollar had a mixed performance as it functioned as a counter currency due to the lack of top-tier data. Factory orders turned out weaker than expected with a 1.7% decline versus the projected 1.5% fall while the labor market conditions index rose from -2.5 to -2.1. For today, the US trade balance and ISM non-manufacturing PMI are up for release.

EUR

The euro was able to score some gains against the comdolls and the dollar despite mixed data from the region. Spain’s unemployment change figure showed a large reduction in joblessness of 58.2K versus the projected 28K gain while the euro zone Sentix investor confidence index rose from 5.5 to 5.7, short of the estimated climb to 6.9. German factory orders and services PMI readings from Spain and Italy are due today.

GBP

The pound was able to recover against its peers when the UK construction PMI came in line with expectations and held steady at 54.2. The services PMI is due today and a rise from 52.7 to 53.9 is expected, with stronger than expected data likely to yield more gains for the UK currency.

CHF

The franc was supported by risk aversion but its gains were limited when SNB head Thomas Jordan acknowledged the possibility of negative interest rates. There were no reports out of Switzerland yesterday and none are due today.

JPY

The yen gained ground against the commodity currencies and the dollar when risk aversion came back in play. Average cash earnings in Japan showed a 0.9% gain versus the projected 0.2% uptick and the previous flat reading.

Commodity Currencies (AUD, NZD, CAD)

The comdolls retreated from their rallies when news of Saudi Arabia blocking Iranian oil shipments broke out. Crude oil fell below $36/barrel on these reports, weighing on the oil-related Loonie. In New Zealand, the NZIER business confidence index slumped from 15 to 2 while ANZ commodity prices showed a 1.3% drop. The RBA statement and Australian trade balance are lined up next while NZ will have a dairy auction later on.

By Kate Curtis from Trader’s Way

USD

The US dollar had another mixed performance, as data from the economy came in mixed. The ISM non-manufacturing PMI beat expectations with a rise from 53.4 to 54.5, outpacing the consensus at 54.1. However, the trade balance showed a much wider deficit. Exports and imports both gained, indicating a pickup in external and domestic demand. The FOMC minutes are up for release today.

EUR

The euro continued to consolidate against the dollar since there were no top-tier reports from the euro zone. Retail sales rose 0.2% as expected. Only the German industrial production report is due today and a 1.8% decline is eyed.

GBP

The pound managed to hold on to some of its gains when the UK services PMI came in mostly in line with expectations. The figure rose from 52.7 to 53.7, just a couple of notches away from the 53.9 consensus but still indicative of stronger growth in the sector. There are no major reports lined up from the UK economy today.

CHF

The franc was unable to find a clear direction in recent trading since there were no major reports out of Switzerland. Its economic schedule is still empty for today, suggesting further consolidation or sensitivity to any changes in market sentiment.

JPY

The yen took advantage of the run in risk aversion during the earlier trading sessions, as average cash earnings in Japan showed a stronger than expected 0.9% increase. Only the leading indicators data is due today and a decline is eyed.

Commodity Currencies

The comdolls managed to stage a rebound late in the day, buoyed by a decline in API inventories and a rise in dairy prices. The American Petroleum Institute reported a reduction of 4.3 million barrels in stockpiles while the New Zealand GDT auction showed a 2.1% rebound in dairy prices. The RBA kept rates unchanged as expected but gave a mixed statement with an upbeat assessment and a warning on AUD strength. Canada’s trade balance showed large declines in both imports and exports. Its Ivey PMI is due today ahead of US crude oil inventories data.

By Kate Curtis from Trader’s Way

USD

The US dollar was weaker against its forex rivals even though the FOMC minutes showed a couple of votes to hike interest rates in March. Fed policymakers are still wary of inflation trends but acknowledged the strength in employment and housing. FOMC members also discussed the global economic slowdown but cited that the US economy remains resilient. US initial jobless claims and a testimony by Fed head Yellen are lined up today.

EUR

The euro broke slightly higher to the dollar but gave up ground to the commodity currencies when risk appetite improved. Data from the euro zone was better than expected, as German industrial production dipped 0.5% versus the projected 1.8% decline. The ECB meeting minutes are due today.

GBP

The pound was barely able to take advantage of dollar weakness as Brexit concerns continued to weigh on the British currency. Only the Halifax HPI is up for release from the UK today and this might not be enough to give the currency support.

CHF

The franc gave up ground to the dollar and most of its forex peers when risk appetite improved. There were no major reports out of the Swiss economy yesterday and today has the foreign currency reserves report on tap. A large increase could revive talks of currency intervention, driving the franc lower against its counterparts.

JPY

The yen gave up ground when risk-taking took place towards the latter trading sessions. Japanese leading indicators fell from 101.8 to 99.8, suggesting potential weakness in the coming months. There are no major reports due from Japan today but BOJ Governor Kuroda has a testimony lined up.

Commodity Currencies (AUD, NZD, CAD)

The comdolls were able to make a strong recovery in recent sessions when crude oil prices picked up. The US EIA inventories report showed a reduction of 4.9 million barrels in stockpiles instead of the projected increase of 3.1 million barrels. Meanwhile, some OPEC nations expressed willingness to cap production even if Iran does not cooperate. Canadian building permits data is due today.

By Kate Curtis from Trader’s Way

USD

The US dollar was able to benefit from the run in risk aversion yesterday, advancing against most of its higher-yielding rivals except for the yen. Data from Japan has been better than expected, as initial jobless claims landed at 267K versus the projected 271K figure. Also, Fed Chairperson Yellen sounded more upbeat than usual and assured that there is no bubble about to burst in the US economy. FOMC members George and Dudley are set to give testimonies today.

EUR

The euro suffered another fresh wave of selling pressure when the ECB minutes revealed that policymakers actually considered a larger stimulus injection in their March statement. In addition, Governor Draghi reiterated that they’re willing to do whatever it takes to boost inflation and growth. Only medium-tier reports such as the French industrial production and German trade balance are due from the euro zone today.

GBP

The pound was also in a very weak spot when risk aversion came into play. Data from the UK was actually stronger than expected, as the Halifax HPI posted a 2.6% jump in prices. However, Brexit fears weighed on the pound when traders reduced their riskier holdings. UK manufacturing production data is due today and a 0.2% decline is eyed.

CHF

The franc gave up some ground to the dollar but was able to rake in gains against its other forex peers on risk-off moves. Swiss foreign currency reserves didn’t reveal any signs of intervention from the central bank, although traders still seem wary that the SNB might make an announcement anytime soon. The Swiss CPI and jobless rate are due today.

JPY

The yen staged a very strong rally despite remarks from government officials saying that they’re monitoring exchange rate levels closely. Earlier today, Japan’s current account balance came in stronger than expected at a surplus of 1.73 trillion JPY. No other reports are due from Japan today but more jawboning from officials could inspire volatility.

Commodity Currencies (AUD, NZD, CAD)

The comdolls gave up ground when risk aversion returned to the markets. Data from Canada was better than expected as building permits showed a 15.5% jump. The jobs numbers are due today and a 10.4K increase in hiring is eyed.

By Kate Curtis from Trader’s Way

USD

The US dollar had a mixed performance but it was able to scrape in some gains before the end of the session. Data from the US economy was stronger than expected, as wholesale inventories shrank 0.5% versus the projected 0.2% decline. FOMC member Dudley has another testimony lined up today and a Fed announcement is scheduled.

EUR

The euro managed to advance against the dollar but gave up ground to the yen and its comdoll counterparts later on in the day. Data from the euro zone was mixed, as the German trade balance beat expectations but the French industrial production report fell short. For today, only the Italian industrial production report is lined up.

GBP

The pound was still in a very weak spot at the end of the previous trading week, especially since UK data came in way below expectations. Manufacturing production shrank 1.1% versus the projected 0.2% dip while industrial production fell 0.3% instead of posting the projected 0.1% uptick. There are no reports due from the UK today but traders might price in expectations for the UK CPI and BOE statement set later on.

CHF

The franc had a mixed performance but was able to lock in some gains, thanks to risk aversion in the financial markets. Swiss CPI came in line with expectations of a 0.3% uptick. There are no reports due from Switzerland today.

JPY

The yen resumed its rallies against its forex counterparts as traders didn’t seem to believe that the BOJ is ready to intervene in the forex market anytime soon. Data from Japan was stronger than expected today, as the core machinery orders printed a smaller 9.2% decline versus the estimated 11.6% slump.

Commodity Currencies (AUD, NZD, CAD)

The comdolls managed to score some gains when the Baker Hughes report showed another weekly decline in US oil rigs. Data from Canada was much stronger than expected, as the economy added 40.6K jobs in March while the jobless rate improved from 7.3% to 7.1%. Chinese inflation reports came in mixed today, with the CPI steady at 2.3% instead of improving to the estimated 2.4% figure and the PPI up from -4.9% to -4.3%.

By Kate Curtis from Trader’s Way

USD

The US dollar had a quiet day as traders hesitated to take large positions with a Fed special closed meeting scheduled. No major announcements had been made, although Yellen has also had a meeting with President Obama and VP Biden to discuss the state of the economy. Only the US import prices report is due today and a 1.0% rebound is eyed.

EUR

The euro gave up ground to most of its rivals but continued to consolidate around 1.1400 against the dollar. Italian industrial production data came in better than expected with a 0.6% decline versus the estimated 0.8% drop. German wholesale prices and final CPI readings are due today.

GBP

The pound was able to score some gains yesterday as traders probably booked profits off their recent short trades ahead of the UK CPI release today. Headline inflation could hold steady at 0.3% while core inflation could advance from 1.3% to 1.4%. Underlying inflation data such as PPI and RPI could also post improvements.

CHF

The franc tossed and turned in the charts, as the lack of catalysts and concerns about potential SNB intervention kept its moves limited. There were no reports out of Switzerland yesterday and none are due today.

JPY

The yen returned some of its recent wins as traders continued to be wary of potential BOJ intervention. There have been no major reports out of the Japanese economy lately and risk appetite has favored the higher-yielding currencies so far.

Commodity Currencies (AUD, NZD, CAD)

The comdolls were able to rally in recent session after crude oil carried on with its climb. In Australia, the NAB business confidence index rose from 3 to 6 to indicate increased optimism. There are no other reports due from the comdoll economies today, keeping risk sentiment in play.

By Kate Curtis from Trader’s Way

USD

The US dollar had another mixed performance, as it gave up ground to the comdolls but was able to hold steady against the European currencies. There were no major reports out of the US economy yesterday while today has PPI and retail sales readings due. Headline consumer spending is projected to rise by 0.1% while core retail sales could show 0.4% growth. Headline PPI is slated to rise by 0.3% while core PPI could post a 0.1% uptick.

EUR

The euro advanced to the yen but was no match to comdoll strength. Medium-tier data from the euro zone simply came in line with expectations but the shared currency suffered a bit of selling pressure when the IMF mentioned that Greece’s debt levels are unsustainable. The French final CPI and euro zone industrial production report is due.

GBP

The pound was able to recover against most of its peers when UK inflation reports beat expectations. Headline CPI jumped from 0.3% to 0.5% while the core CPI climbed from 1.2% to 1.5%. The RPI also beat expectations but PPI fell short. There are no major reports due from the UK economy today.

CHF

The franc tossed and turned against its forex rivals, as the lack of data from Switzerland kept it functioning as a counter currency. There are still no reports due from the Swiss economy today.

JPY

The yen gave up its recent gains when risk appetite improved in the forex market. More Japanese officials have been supporting the idea of currency intervention, forcing some traders to close out their long positions. Japanese PPI data is due today and a 3.5% drop is eyed.

Commodity Currencies (AUD, NZD, CAD)

The Loonie enjoyed a strong boost from reports that Saudi and Russia already reached a deal to freeze output ahead of the Doha meetings. The report also mentioned that the source said that this agreement could push through even without Iran’s participation. The BOC statement is due next and no changes to policy are expected. US crude oil inventories data is also due.

By Kate Curtis from Trader’s Way

USD

The US dollar regained ground against its counterparts despite weak economic data. Headline retail sales fell 0.3% instead of printing the projected 0.1% uptick while core retail sales were up 0.2% versus the projected 0.4% increase. Headline and core PPI also missed expectations. For today, the actual CPI reports are due and another round of weak readings could keep risk aversion in play.

EUR

The euro retreated against most of its counterparts, as euro zone industrial production fell by 0.8% versus the projected 0.6% dip. Euro zone final CPI readings are due today and no revisions to the flash figures are eyed.

GBP

The pound took a break from its rallies after seeing strong CPI data, as traders probably reduced their holdings ahead of today’s BOE statement. No actual policy changes are expected but policymakers could discuss how a possible Brexit might affect their outlook.

CHF

The franc gave up ground to the dollar as there were no major reports to support the currency yesterday. Today has the the Swiss PPI on tap and a 0.2% decline in producer prices might follow the previous 0.6% slump.

JPY

The yen continued to retreat against most of its peers as investors priced in the possibility of BOJ intervention. There were no major reports out of Japan then and none are due today, keeping risk sentiment in play.

Commodity Currencies (AUD, NZD, CAD)

The comdolls gave back some of their recent gains when risk aversion returned. The BOC kept rates unchanged as expected while refraining from jawboning the Loonie. Still, policymakers noted that their outlook is weaker, citing that the temporary factors that boosted growth in Q1 might not be sustained. Earlier today, stronger than expected Australian jobs data boosted the Aussie, as the economy added 26.1K jobs in March.

By Kate Curtis from Trader’s Way

USD

Dollar pairs were stuck in consolidation for the most part, as traders have already priced in expectations for the weak CPI readings. Headline and core CPI showed 0.1% gains versus the projected 0.2% increase for both figures. For today, industrial production and capacity utilization numbers are due, along with the Empire State manufacturing index and the preliminary UoM consumer sentiment index.

EUR

The euro calmed down from its previous day’s selloff, as the headline CPI was revised to show a flat reading from the previous 0.1% drop. Only the euro zone trade balance is up for release today.

GBP

The pound was slightly weaker after the BOE interest rate decision even though the central bank kept rates on hold as expected. Policymakers highlighted the risks of a potential Brexit on growth and monetary policy. The UK construction output report is due today and a flat reading is eyed.

CHF

The franc was stuck in consolidation against the dollar but was able to rake in some gains against the higher-yielders. Swiss PPI came in flat instead of showing the estimated 0.2% dip. There are no reports due from the Swiss economy today.

JPY

The yen regained ground on risk aversion, as central banks in Asia such as that of Singapore shifted to an easing bias. There were no reports out of Japan then and none are due today, keeping market sentiment in play.

Commodity Currencies (AUD, NZD, CAD)

The Australian dollar made a strong rally after the jobs report revealed that the economy added 26.1K jobs in March, enough to bring the jobless rate down to 5.7%. The Loonie was still weaker on reports that Iran boosted production to 600,000 barrels per day. Chinese GDP, industrial production, retail sales, and fixed asset investment data are due today.

By Kate Curtis from Trader’s Way

USD

The US dollar gave up ground on profit-taking and weak data on Friday. Industrial production and capacity utilization figures missed expectations while the preliminary UoM consumer sentiment index showed a decline in optimism. Meanwhile, the Empire State manufacturing index rose from 0.6 to 9.6 to indicate a much stronger pace of industry growth. US building permits and housing starts data are up for release today.

EUR

The euro regained a bit of ground on Friday, even though medium-tier reports came in mixed. There are no major reports up for release from the euro zone today, keeping market sentiment in play.

GBP

The pound was still in a weak spot last week, especially since the BOE announced that one of its hawkish members, Martin Weale, is set to be replaced by a slightly more dovish one. Data from the UK was weaker than expected as construction output sank by 0.3% instead of staying flat. Only the Rightmove HPI is due from the UK today and a 1.3% increase was printed.

CHF

The franc was still stuck in consolidation to the dollar on Friday, as there were no major reports out of Switzerland then. There are still no major reports due from the Swiss economy today so risk sentiment could push franc pairs around.

JPY

The yen was able to benefit from risk aversion, as traders reacted to the earthquake in Japan and reports of the Doha meeting failing to produce a deal. Japan’s industrial production figure was revised to show a smaller decline of 5.2% from the initially reported 6.2% drop. There are no reports due from Japan today.

Commodity Currencies (AUD, NZD, CAD)

The comdolls traded carefully last Friday, as traders lightened up their holdings ahead of the Doha meeting. This meeting failed to produce an agreement to cap production since Saudi Arabia insisted on Iran’s cooperation but the latter wasn’t present then. Canada’s manufacturing sales slumped 3.3% versus the projected 1.4% drop. New Zealand printed a stronger than expected 0.2% quarterly CPI.

By Kate Curtis from Trader’s Way

USD

The US dollar returned most of its recent wins when risk appetite returned to the markets in the latter trading sessions. There have been no reports out of the US economy yesterday while today has building permits and housing starts lined up.

EUR

The euro was in a weak spot despite the run in risk appetite, as it caved to comdoll and pound strength. There were no major reports released from the euro zone economy yesterday while today has the German and euro zone ZEW economic sentiment figures on tap. The former is expected to rise from 4.3 to 8.2 while the latter could climb from 10.6 to 13.9.

GBP

The pound staged a strong rally after UK Chancellor Osborne reiterated his bias against a Brexit. He cautioned that this scenario would make it more costly for the government to provide public services and that trade and business investment might be dampened. BOE Governor Carney has a testimony lined up today.

CHF

The franc was still stuck in tight consolidation to the dollar yesterday but it was mostly weaker to its other counterparts. There were no reports released from Switzerland yesterday and there are still no major reports lined up today.

JPY

The yen returned its recent wins when risk-taking took place in the London and US sessions. There were no reports out of Japan then and none are due today, which suggests that market sentiment could keep pushing yen pairs around.

Commodity Currencies (AUD, NZD, CAD)

The comdolls gapped down over the weekend but were quick to fill these gaps when crude oil bounced. Reports of a strike among oil industry employees in Kuwait led to a huge drop in production, easing fears of a supply glut. The RBA minutes revealed that the central bank has room to cut rates if low inflation persists. RBA Governor Stevens and BOC Governor Poloz have testimonies lined up today.

By Kate Curtis from Trader’s Way

USD

The US dollar continued to lose ground against its forex peers as data came in weaker than expected again. Building permits and housing starts both declined and fell short of estimates while today has the exiting home sales report due.

EUR

The euro was able to advance to the dollar and yen but was no match to comdoll strength. Data from the euro zone came in better than expected, as the German ZEW economic sentiment index rose from 4.3 to 11.2 while the region’s reading climbed from 10.6 to 21.5. There are no major reports due from the euro zone today but ECB head Draghi has a speech lined up.

GBP

The pound continued its climb when BOE Governor Carney also shared his bias against a Brexit. For today, the UK jobs release is due and a drop of 11.9K in claimants is eyed. This could be enough to keep the jobless rate unchanged at 5.1%. The average earnings index is also expected to hold steady at 2.1% but a pickup in wages could be positive for the pound.

CHF

The Swiss franc was able to rake in some gains even though there were no major reports out of Switzerland. Today has the ZEW economic expectations index lined up and a rise from the previous 2.5 reading could yield more gains.

JPY

The yen continued to lose ground to its higher-yielding peers as risk appetite persisted. There were no major reports out of Japan yesterday and none are due today, which suggests that market sentiment could continue to push yen pairs around.

Commodity Currencies (AUD, NZD, CAD)

The comdolls continued to benefit from the pickup in commodity prices, even as the end of the Kuwait oil strike marked a resumption of production in the country. In New Zealand, the GDT auction yielded a 3.8% gain in dairy prices, stronger than the previous 2.1% increase. US crude oil inventories and a speech by Governor Poloz are due today.

By Kate Curtis from Trader’s Way

USD

The US dollar managed to take a break from its dive in yesterday’s sessions, as risk aversion returned to the markets. Data from the US also came in stronger than expected, with existing home sales up from 5.07M to 5.33M. For today, the Philly Fed index and initial jobless claims are due. The index could fall from 12.4 to 8.1 while the jobs figure could show 265K claimants.

EUR

The euro gave up ground to most of its rivals when traders started pricing in dovish expectations for today’s ECB statement. No actual changes are expected for now since the central bank just expanded their easing program in their earlier policy statement. Still, downbeat remarks and indications that they’re willing to lower rates further could be bearish for the euro.

GBP

The pound was unable to sustain its climb when UK jobs data missed expectations. Claimants rose by 6.7K versus the projected 11.9K decline while the previous reading was revised to show a smaller drop in joblessness of 9.3K. The unemployment rate held steady at 5.1% as expected but the average earnings index fell from 2.1% to 1.8% instead of staying unchanged. UK retail sales data is due today and a 0.1% drop in consumer spending is eyed.

CHF

The franc gave up ground to the dollar and most of its rivals despite the improvement in Swizterland’s ZEW economic sentiment index. The reading rose from 2.5 to 11.5 to indicate higher optimism, but traders appear to be lightening up on their franc holdings ahead of the ECB statement. Switzerland’s trade balance is due today.

JPY

The yen was weaker against the dollar despite the lack of top-tier data from Japan. Risk appetite was present during the Asian trading session but was more subdued later on. There are no reports up for release from Japan today, keeping market sentiment in play.

Commodity Currencies (AUD, NZD, CAD)

The comdolls were slightly weaker in recent sessions, although the Loonie was able to score a few more gains. US crude oil inventories rose by 2.1 million barrels, slightly lower than the estimate. Canada’s wholesale sales report showed a 2.2% decline instead of the estimated 0.4% dip. Visitor arrivals in New Zealand rose by 4.1% while Australia’s NAB business confidence index fell from 5 to 4 in Q1.

By Kate Curtis from Trader’s Way