08 June 2017 at 21:42 GMT
US Data Released:
- Initial Jobless claims (Actual 245,000 vs. forecast 240,000)
William Shakespeare’s comedy “Much Ado About Nothing” was written 418 years ago. The title is a fitting description for today’s highly anticipated, yet ultimately disappointing Super Thursday events, at least two-thirds of them as the UK election results are unknown at the time of writing.
The European Central Bank policy meeting and Mario Draghi’s press conference was anticlimactic. Wednesday’s leaks of lowered inflation forecasts proved to be true. Nevertheless, EURUSD eased down from 1.1240 to 1.1195 after the press conference and then drifted higher in the afternoon.
Have you ever watched a sporting event on television and wondered if the announcer describing the action was watching the same game as you? If so, then when you scroll through the news stories about today’s James Comey testimony to the Senate Intelligence Committee, you will get a sense of déjà vu.
The FX reaction to the Comey testimony was not to react. USDJPY traded sideways in a 109.85-110.35 range and closed a tad softer from where it opened.
The UK election locked sterling inside a 1.2908-1.2950 band and it closed almost unchanged.
The commodity currency bloc was even quieter. AUDUSD and USDCAD finished unchanged on the day while NZDUSD inched higher. The Bank of Canada Financial Stability Review was a non-event.
Oil prices made another short-term low at the beginning of the session, dropping from $46.13 to $45.20 just after Mario Draghi’s press conference started. Prices bounced back to the opening level by mid-morning and then they drifted down until closing at $45.68 a barrel.
Wall Street was treading water for most of the day before ticking higher into the close.
Former FBI director James Comey's testimony was highly anticipated, yet ultimately fell short of expectations. Photo: Shutterstock
– Edited by Susan McDonald
Michael O'Neill is an FX consultant, currency strategist and author of the Trade of the Day at Loonieviews.net. Follow Mike or post your comment below to engage with Saxo Bank's social trading platform.