[U][B]Fundamental Headlines[/B][/U]
• [B]USDJPY [/B]– The Japanese Eco Watchers Index fell to 32.1 from 35.5, far below expectations of a 34.0 reading. Sentiment for Japanese merchants dropped for a second month as rising inflation continues to diminish consumer’s purchasing power. Indeed, expectations for households, manufacturing, business, retail and housing all fell. The Japanese economy which is already seeing a slowdown from declining U.S. demand may not be able to count on domestic spending to drive the economy. For more news and resources, visit our Japanese Yen Currency Room.
• [B]USDCHF [/B]– Swiss unemployment remained at 2.5% in May, the lowest level in five years. The labor market has remained strong as demand for Swiss goods has allowed companies to increase their workforces. Although, expectations are the economy will slow going forward as growth slowed in the first quarter to 0.3%. For more news and resources, visit our Swiss Franc Currency Room.
• [B]GBPUSD [/B]– U.K. Factory gate prices rose 1.6% in April, which is the most since records began in 1986. The sharp rise drove the annualized level up to 8.9% from 7.9% the month prior, marking the nine consecutive months that prices have accelerated. All ten categories saw prices increase on the year led by a 28.5% surge in petroleum products on the back of record oil prices, which have reached as high as $139 per barrel last week. Discuss the topic and your trade ideas in the GBP/USD Forum.
• [I] Lehman Set To Raise $5 Billion Amid Losses[/I] (link) – Wall Street Journal
• [I] Gasoline Hits Average of $4 a Gallon /I – Wall Street Journal
• [I]NY Fed Chief Urges Global Bank Framework ([/I][link](javascript:void(0);/1213008789774/)) – Financial Times
• [I] SEC May Ban Moody’s, S&P From Structured Finance Consulting /I – Bloomberg
• [I] U.K. Producer Prices Rise At Fastest Pace Since 1986 /I – Bloomberg
