[U][B]Fundamental Headlines[/B][/U]
• [B]AUDUSD [/B]– The RBA left the benchmark interest rate at 7.25%, as they anticipate slowing growth to reign in inflation. However, Governor Stevens would caution that if growth failed to slow that rising prices would return to focus for the MPC. Those concerns are warranted as rising exports in coal and wheat saw the trade balance deficit shrink in March to -2736M from -3261M from the month prior. For more news and resources, visit our Australian Dollar Currency Room.
• [B]GBPUSD [/B]– U.K. PMI services fell sharply from 52.1 to 50.4 in April. Companies are losing their ability to pass on increased costs as prices charged declined and input costs rose. The housing slump continues to weigh on the economy and although the BoE is expected to keep rates unchanged ion Thursday, the odds of a rate cut in June are increasing. Discuss the topic and your trade ideas in the GBP/USD Forum.
• [B]EURUSD [/B]– Producer prices accelerated to a annualized 5.7% in March from a upward revised 5.4% the month prior, on record energy costs. Meanwhile, services PMI improved to 52.0 from the initial estimate of 51.8 as hiring strengthened. The data and President Trichets warning yesterday of th threat of global rising global inflation, may lead the ECB to consider a rate hike in the future. Discuss the topic and your trade ideas in the EUR/USD Forum.
• [I] Treasury Plans To Press Lenders [/I] (link) – Wall Street Journal
• [I]Sprint Mulls Shedding Nextel Unit [/I] (link) – Wall Street Journal
• [I]US Banks Continue To Tighten Lending[/I] (link) – Financial Times
• [I]Europe Price Surge Persuades Politicians To Back ECB ([/I]link) – Bloomberg
• [I]Swiss Re First- Quarter Profit Falls On Writedown[/I] (link) – Bloomberg
