Forex Analysis
Central European Daily
Polish Prime Minister wins confidence vote Hungary prepares new FX loans legislation Hungarian forint eased yesterday after Economy Minister Mihaly Varga announced
USD/JPY – target 105.50
USD/JPY continues to frustrate bulls as it hovers at key long-term support at its 200 day moving average (MA) – currently at 101.70, notes BNP Paribas.
The Global Macro Pulse
EURUSD barely moved at 1.3634, while both the AUDUSD and USDJPY wereever so slightly lower at 0.942 and 101.74, respectively.
GBP: Buy The Dip
The GBP has been under pressure of late, mainly on the back of BoE Governor Carney providing a less clear message with regards to the timing of higher interest rates.
Will retail spending respond to the sharp fall in consumer confidence?
The sharp fall in consumer sentiment after the release of the 2014-15Federal Budget has sparked concerns of a sustained slowdown inconsumer spending.
FX Daily
Today US PCE core inflation is due for release and we expect the PCE core toincrease to 1.5% y/y in May from 1.4% y/y in April.
FI Eye-Opener: Forget Q1 – US economy doing much better already
Bonds rallied on both sides of the Atlantic, but especially in Germany, while more bull-flattening was seen.
AUD/USD Analysis
Aussie started this morning at $0.9408, a touch above the US high of $0.9403 and right at the high for Wednesday’s global session.
EUR/USD Analysis
The pair started in Asia at $1.3629 after trading up to a $1.3651 high during the US session overnight following the US GDP results.
GBP/USD Analysis
The pair closed in Wednesday at $1.6982 after rate’s (US GDP prompted) recovery off intraday lows of $1.6952 faltered above $1.7000.
USD/JPY Analysis
JPY marked small gains this morning in Asia, thanks to the dollar’s broad declines following last night’s disappointing GDP reading.
EUR Mid-day Analysis
Yesterday the Euro managed to trade right through discouraging data with an upward tilt and