19 July 2016 at 22:48 GMT
- Australia: Westpac Leading Index-May 2030 GMT
US data released
- Housing Starts-June (Actual 1.189 million vs. May 1.135 million)
- Building Permits-June (Actual 1.153 million vs. May 1.138 million)
- API Crude Stocks Change (Actual -2.3 million barrels vs. 2.2 mln/b last week)
It wasn’t an especially exciting day in FX markets. Unlike yesterday when traders were selling US dollars, today they were buying them, with only EURUSD and GBPUSD losing ground.
EURUSD was offered at the start of the day, undermined in part by soft ZEW data in the Eurozone and Germany. The opening level of 1.1060 was the high of the day and was never seen again all day. The single currency bottomed out at 1.1000 near lunch time and spent the rest of the session moving sideways. GBPUSD suffered a similar fate, opening at the high (1.3190) and closed just above the low of 1.3070. USDJPY rallied in the early going and then slid lower until the close.
Better-than-expected US housing data helped keep the 2016 rate hike dialogue going. The 4.8% jump in June housing starts was the second-highest level in eight years.
WTI oil prices tumbled after touching $45.64 around breakfast and finished the day at $44.65. The API Crude Stocks Change report was released and crude declined by 2.3 million barrels. Gasoline inventories rose.
Better-than-expected US housing data – up 4.8% in June – helped keep the
2016 rate hike dialogue going. Photo: iStock
– Edited by Gayle Bryant
Michael O'Neill is an FX consultant at IFXA Ltd. Follow Mike or post your comment below to
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