John J Hardy
Saxo Bank’s head of FX strategy John Hardy takes a closer look at trends and moves in today’s forex charts, including EURUSD, USDJPY, AUDUSD, and EURSEK.
Article / 02 May 2016 at 22:54 GMT

US Market Wrap: Trading slows for May Day

FX Trade Strategist /


  • Australia: Building Permits-March                                                          0130 GMT
  • China: Caixin Manufacturing PMI-April                                                  0145 GMT                                                                                          
US Data released:

  • ISM Manufacturing PMI-April (Actual 50.8 vs. forecast 51.4)
  • Markit Manufacturing PMI-April (Actual 50.8 vs 5.0)
  • Construction Spending (Actual 0.3% vs. forecast 0.5%)

Forex markets weren’t especially busy on Monday, taking their cue from overseas where many markets were closed for a May Day holiday. Still there were enough distractions to keep traders interested. This morning’s PMI data came in below forecast, but still remained in expansion territory.

EURUSD ended the day at the high supported by higher-than-expected Eurozone PMI data and weaker than expected US data. USDJPY went nowhere while GBPUSD buyers came out of the woodwork. AUDUSD traders bought the currency, seemingly unfazed ahead of the Reserve Bank of Australia interest rate announcement due out on Tuesday, despite the risk of a rate cut.

WTI was at $46.07/barrel in the early morning and then declined steadily to end the day at $44.87/b, just above the $44.54/b low.


Trading on Monday was subdued, with markets in China and in many other nations around the world closed to mark May Day workers' celebrations. Photo: iStock

If you are looking for a quick recap of what may move and shake markets this week, check out Trading Floor's: Daily Shot: Powerful yen could knock inflation, undermine BoJ

For more on forex, click here.

– Edited by Robert Ryan

Michael O'Neill is an FX consultant at IFXA Ltd. Follow Mike or post your comment below to engage with Saxo Bank's social trading platform.

Missed a day? Here’s what we had to say during our Asian session and our regular European Morning Markets, From the Floor and Mid-session Europe.


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