• This morning, markets have continued to absorb the implications for the US and world economy after US GDP came in at +0.5% vs expectations of +0.8%. The dollar is now down for the second straight day.
• The move pushed the already weak USD/JPY deeper into the red, with heavy selling yesterday and this morning.
• Other yen pairs have followed suit with the EUR/JPY dropping from the sky.
• By contrast, dollar pairs have taken the opportunity to extend recent gains with the GBP/USD and EUR/GBP pushing well above the March highs.
• Oil prices have also enjoyed the state of the weak dollar with further gains yesterday.
Coming up today:
• Coming up today we have Spanish Flash GDP at 08.00.
• Following this we get UK net lending to individuals at 09.30. MPC member Cunliffe speaks at 13.00.
• We then have European flash CPI estimate.
• From 13.30 we switch to North America starting with Canadian GDP and RMPI.
• At the same time we have US core PCE price index, alongside the employment cost index and personal spending.
• Chicago PMI then follows at 14.45, with revised UoM consumer sentiment at 15.00.
Trade Idea:
• The USD/JPY’s retreat has now easily undone last week’s surge, but where now?
• In this, it may pay to observe the longer term trend which is still pointing lower, indicating more downside from here.
Disclaimer: This financial market report is intended for educational and information purposes only. It should not be construed as investment or financial advice and you should not rely on any of its content to make or refrain from making any investment decisions. The views expressed in this report are those of the author and do not necessarily reflect the views or position of Binary.com accepts no liability whatsoever for any losses incurred by users in their trading. Binary options trading may incur losses as well as gains.
Dollar Retreats as Growth Disappoints
Morning Report: 06.30 London
• This morning, markets have continued to absorb the implications for the US and world economy after US GDP came in at +0.5% vs expectations of +0.8%. The dollar is now down for the second straight day.
• The move pushed the already weak USD/JPY deeper into the red, with heavy selling yesterday and this morning.
• Other yen pairs have followed suit with the EUR/JPY dropping from the sky.
• By contrast, dollar pairs have taken the opportunity to extend recent gains with the GBP/USD and EUR/GBP pushing well above the March highs.
• Oil prices have also enjoyed the state of the weak dollar with further gains yesterday.
Coming up today:
• Coming up today we have Spanish Flash GDP at 08.00.
• Following this we get UK net lending to individuals at 09.30. MPC member Cunliffe speaks at 13.00.
• We then have European flash CPI estimate.
• From 13.30 we switch to North America starting with Canadian GDP and RMPI.
• At the same time we have US core PCE price index, alongside the employment cost index and personal spending.
• Chicago PMI then follows at 14.45, with revised UoM consumer sentiment at 15.00.
Trade Idea:
• The USD/JPY’s retreat has now easily undone last week’s surge, but where now?
• In this, it may pay to observe the longer term trend which is still pointing lower, indicating more downside from here.
A good way to play this is a LOWER trade predicting that the USD/JPY will close below 107.00 in 14 days time for a potential return of 133%.
Disclaimer: This financial market report is intended for educational and information purposes only. It should not be construed as investment or financial advice and you should not rely on any of its content to make or refrain from making any investment decisions. The views expressed in this report are those of the author and do not necessarily reflect the views or position of Binary.com accepts no liability whatsoever for any losses incurred by users in their trading. Binary options trading may incur losses as well as gains.
Email [email protected] or skype me at bomaffiliates-karen
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