Fundamental Headlines
• [B]USDCHF [/B]– Swiss inflation hit a 12yr high led by rising transportation costs due to expensive oil. Prices rose 2.0% from the previous year, which is the SNB’s threshold fo price stability and 0.2% on a monthly basis. Visit the Swiss Franc Currency Room for resources dedicated to the Swissie.
• [B]EURUSD [/B]– The European PMi services indicator printed in line with expectations showing a slowdown in growth caused by higher energy costs and tight credit markets. Although the number was above the 50 boom/bust level indicating expansion it fell to 53.1, which was the lowest since June,2005 and down from 54.1 the previous month. A closer look showed a reduction in most business components including employment, new business, input prices and outstanding business.What do you think will happen to the EUR/USD? Join the discussion and voice your opinion on the DailyFX Forum.
• [B]GBPUSD [/B]– The UK PMI Services indicator unexpectedly increased printing at 52.4 versus 51.6 and up from the previos month’s 51.9. The concern for the BoE is that input prices and prices charged were two of the compnents that led to the increase. This may it less likely that they willcut rates next week. For more resources dedicated to this currency please, visit the new British Pound Currency Room.
• [I]Obama, Huckabee Win Iowa, Seize Momentum[/I] (link) – The Wall Street Journal
• [I]UK Services Index Unexpectedly Increases[/I] (link) – Bloomberg
• [I]UK Mortgage Approvals Fell to a Three-Year Low in November[/I] (link) – Bloomberg
• [I]China to Take More Steps to Cool Economy, Inflation[/I] (link) – Bloomberg
• [I]Australia Bond Risk Rises to Record as Banks Lift Mortgage Rate[/I] (link) – Bloomberg
