Forex News
US ISM Non-Manufacturing Index Fell to a Three-Month low in September
* The September 2013 Institute for Supply Management (ISM) non-manufacturing index fell to 54.4 from an almost eight-year high of 58.6 in August.
US Initial Jobless Claims Lower than Expected for the Week Ending September 28
US initial claims inched upward by just 1,000 to 308,000 in the week ending September 28, 2013 after dipping 4,000 to a revised 307,000 (was 305,000) the previous week.
Swedish service PMI edged down but remains well above the 50-mark
The service sector PMI edged down to 53.3 in September from 53.7 in August. This was roughly in line with our expectations.
ECB comment – Draghi ready to consider all available instruments
The ECB kept its key rates unchanged at today’s meeting and gave no new signals regarding future policy actions.
Morning FX Market Commentary
Major currencies end virtually unchanged Neither the US government shutdown, nor the Italian political situation are able to give major crosses direction.
Trade Balance – August 2013
* The August trade balance was weaker than expected, coming in at a deficit of $0.8bn (versus median forecast: $-0.4bn).
US Growth in Manufacturing Activity Unexpectedly Accelerated in September
* The Institute for Supply Management (ISM) manufacturing index rose to 56.2 in September 2013 from 55.7 in the previous month, and it was its highest level since April 2011.
Swedish PMI – extremely strong upswing in September
The Swedish PMI came in much stronger than expected and picked up to 56.0 in September from 52.2 in July.
Morning FX Market Commentary
US government shutdown puts dollar under additional pressure A quite uneventful session left EUR/USD little changed in the close. Sterling remained well bid due to its current “safe haven” status.
RBA leave Cash rate unchanged at 2.50% as widely expected
This morning the RBA decided to leave the Cash rate unchanged at 2.5% in line with expectations. The statement was almost identical with the one from the previous meeting in September.
Retail Trade – August
* Retail trade grew by a decent 0.4% in August, but stands at a lacklustre 2.3% higher through the year.
Canadian July GDP Offsets June Drop
* July 2013 gross domestic product (GDP) rose a stronger than expected 0.6% in the month, which more than reverses the 0.5% drop in June.