Daily Market News By FXNET

[FxNet]

Asian Session – Dollar struggles after weak US consumer confidence data

Weak US data dampened sentiment keeping the dollar heavy against the yen. US Consumer confidence in February fell to 78.1 versus 80 forecast and 79.4 previous. Meanwhile there were comments from the Fed policy maker Tarullo who said that monetary is possible tool to deal with broad sustained systemic risk and that it is possible that interest rates will remain historically low for some time after Fed starts to raise them.

USDJPY opened the Asian session at 102.24 after trading with a heavy tone through the US session due to weak US consumer confidence and a drop in the 10-yr Treasury yield to 2.70%. The pair eased to 102.13 in early Asia.

The Australian dollar was in focus today as there was domestic data on the construction sector. Fourth-quarter total construction fell 1.0% on the quarter while engineering construction was down 0.5%. Also weighing on the aussie lately was the weaker Chinese yuan.

AUDUSD opened the Asian session at $0.9018 and traded a moderate 0.8969-0.9021 range.

EURUSD barely moved yet again in Asia and could only manage a $1.3739/1.3748 range for the entire morning session.

GBPUSD traded a 1.6669-85 range in Asia. Yesterday the pound rose above $1.6720 after comments by the BOE's McCafferty that the UK could raise interest rates in Q2 2015.

Revised GDP for the UK will be released in the European session today and US new home sales in the US session.

 

[FxNet]

Fundamentals analysis 23 July

EUR/USD surrendered 40 focuses today to exchange at 1.3484 as the US dollar profited from the place of refuge disposition of the business sectors on any expectations of a stronger recuperation in the US while Eurozone viewpoints get to be troubling as issues mounted in the Ukraine. Indeed with the European Central Bank's remarkable simple approach including the as of late uncovered extraordinary negative store rates, close zero premium rates and a new adjust of ease advances to pump up loaning the saving money framework is delicate.

GBP/USD eased as traders moved to the US dollar for safety giving up 9 points to trade at 1.7068. The dollar index rose to a six-week high on Tuesday, buoyed by its gains against the euro as speculators bet on a robust inflation reading in the United States

AUD/USD gained 12 points this morning as global tensions eased a bit in the morning. The Aussie is trading at 0.9386. Reserve Bank of Australia (RBA) Governor Glenn Stevens said quantitative easing had clearly worked to lower borrowing costs across the globe, but it was not clear that this had led to much higher business investment.

USD/JPY gained 7 points to trade at 101.47 as global tensions eased a bit. Japan is unlikely to meet its international commitment to achieve a government budget surplus by fiscal 2020, even if it proceeds with another consumption tax increase, sources said Saturday. New U.S. dollar-denominated funds sold to Japanese retail investors have attracted 39% of almost ¥1 trillion, or $9.7 billion, of inflows from May 2013 to June this year, reports Ben McLannahan for Financial Times.

Gold reacted in the reverse of expectations falling 7.00 to trade at 1306.90 as traders moved into the US dollar as the alternative for safety. Prices gained around 0.1 percent and rose above $1,300 an ounce on Monday as U.S. equities slipped and political tensions intensified after the shooting down of a passenger plane in eastern Ukraine last week and incessant fighting in Gaza. Bullion rebounded after last week’s two-percent drop, as investors took profits after Thursday’s strong rally when a Malaysian airliner over Ukraine was shot down and Israel launched a massive ground offensive into Gaza against Hamas militants.

 

[FxNet]

Fundamental Analysis July 24

EUR/USD is down a point at 1.3464 after brokers stress over the financial soundness of the eurozone. The euro touched multi-month lows against the dollar today as speculators worry about the effect on the eurozone economy of conceivable new endorses against Russia after the bringing down of Flight Mh17

GBP/USD tumbled by 21 points to trade at 1.7044 after BBA mortgages missed expectations. Sterling pared gains against the dollar and the euro on Wednesday while gilt futures rose after minutes from this month’s Bank of England policy meeting were not as hawkish as some in the market had anticipated.

AUD/USD is moving between small losses and gains as the strong US dollar weighs on the commodity currency but strong data from China seems to be keeping this in balance as the pair trades at 0.9456. The Aussie climbed this week from below the 94 level and has been able to sustain its strength after the RBA avoided mentioning the strength of the currency in recent public statements.

USD/JPY gained 4 points to trade at 101.53 as the US dollar continues to climb and the JPY eased after the release of trade balance numbers. Japan’s trade deficit ballooned to a record in the first half of the year as exports fell further in June, data showed Thursday, ramping up pressure on the central bank to unveil fresh measures to boost the economy.

Gold has been trading with little momentum today gaining $2.50 to trade at 1308.80. Geopolitical concerns eased somewhat while traders continued to consider the impact of potentially tighter economic sanctions against Russia for its support of Ukrainian rebel militias accused of shooting down a Malaysian airliner last week.

 

[FxNet]

Fundamental Analysis July 25

EUR/USD picked up 16 focuses to exchange at 1.3479 after German and French PMI information printed on the positive site. Particularly solid numbers from Germany gave the cash a bit of energy as the US dollar debilitated as dealers start to concentrate on the FOMC meeting one week from now. Cash dealers are wagering that the Federal Reserve has stolen a walk against opponent national puts money headed straight toward higher premium rates.

GBP/USD is trading at 1.7018 down by 26 points today as the US dollar eased also. UK retail sales missed expectations with CORE year over year and month over month both missing expectation. The overall monthly increase pushed retail sales in the second quarter up 1.6 percent compared with the previous three months, a 16th consecutive increase and the longest period of growth since 2007. From the same three months a year earlier, sales advanced 4.5 percent, the most for a calendar quarter

AUD/USD tumbled by 13 points to trade at 0.9405 after rallying this week and looking like it could break the 95 level, the pair have tumbled for the last two days. The International Monetary Fund has cut its global economic growth forecast for 2014 because of weakness in the world’s two biggest economies.

USD/JPY showed little reaction to the release of inflation data which met expectations today. The pair is trading at 101.79. The dollar extended gains versus the yen after jobless claims fell by 19,000 to 284,000 in the week ended July 19, the fewest since February 2006 and lower than any economist surveyed by Bloomberg forecast, a Labor Department report showed today in Washington

Gold is easing as traders look elsewhere for returns. Gold declined $7.30 to trade at 1297.40. Money managers trimmed their net-long position by 8.5 per cent, US government data showed. Prices dropped 2 per cent last week, the first loss since May and helping to erase $1.38 billion from the value of exchange-traded products (ETPs) backed by the metal

 

[FxNet]

Forex Daily Analysis - 28 July 2014

EUR/USD tumbled 13 focuses after German business information baffled dealers. The euro is exchanging at 1.3450 and keeps on decliing. German business estimation tumbled to its most reduced level in nine months in July in a sign that organizations in Europe's biggest economy are agonized over the emergencies in Ukraine, Iraq and Gaza. The Munich-based Ifo research organization's business atmosphere list, directed from July 4 to 24 and focused around a month to month study of exactly 7,000 organizations, tumbled to 108.0 from 109.7 as geopolitical pressures weighed on certainty.

GBP/USD is slightly in the red against the strong US dollar. The GBP is trading at 1.6984 on continued weakness after a miss in yesterday’s data and today GDP met expectations, but did not support the currency after the BoE made it clear that it was not going to raise interest rates any time soon.

AUD/USD is flat this morning at 0.9395 with almost no volume. The markets seem spooked as traders are just uninterested in making commitments. The AUD remains in a strong range but below last week when its momentum seemed to be pushing it towards the 95 price level. In Australia, no major economic data is scheduled. In the US, the pending home sales index, the “flash” services index and Dallas Federal Reserve index are all released.

USD/JPY is trading at 101.80 down 4 points as the yen gains a bit of momentum on safe haven trades as most market focus remains on the Ukraine, Gaza, Iraq and Libya. World violence and turmoil are keeping most traders out of the markets today. Israel renewed its operations in the Gaza Strip yesterday after a brief cease-fire called by the United Nations for humanitarian reasons ended as militants in the Hamas-controlled territory launched more rockets and mortars.

Gold recovered $2 as traders took advantage of depressed prices to buy up the commodity while the US dollar soared above the 81 price level. German business sentiment fell to its lowest level in nine months in July in a sign that firms in Europe’s largest economy are worried about the crises in Ukraine, Iraq and Gaza.

 

[FxNet]

Forex Daily Analysis - 30 July 2014

EUR/USD is flat moving between small gains and losses with a complete lack of momentum with low volumes. The euro is trading at 1.3440. The Federal Open Market Committee (FOMC) is also meeting in Washington today and tomorrow, with a further round of tapering expected. US jobs numbers, starting with the ADP non-farm employment change, will also start flowing out tomorrow.

GBP/USD is flat to a bit down in today’s session with no economic data although a speech by MPC member Broadhurst supported the BoE in holding off on interest rate increases for a while. The pound is trading at 1.6982. Data on Friday showed UK gross domestic product expanded by 0.8 per cent in the April-June period, the same strong pace as in the first three months of the year

AUD/USD eased by 3 points against a stronger US dollar to trade at 0.9381. The Aussie is trading in a tight range as the market waits for a clearer picture on the state of the US economic recovery. US gross domestic product data for the June quarter will be released on Wednesday night, Australian time, and US Federal Reserve finishes its two-day policy meeting early on Thursday morning.

USD/JPY climbed above the 102 level and gained a bit more momentum today after a disappointing Japanese industrial production report. The pair is trading at 102.14. The June industrial output fell at the fastest rate since the tsunami in March 2011 as companies slowed production to offset a build-up in inventories, official data showed on Wednesday, clouding the outlook for the economy.

Gold gained $5.80 but with little real conviction or direction as traders begin to position themselves ahead of the FOMC meeting beginning soon. Gold is trading at 1311.60. Gold was little changed just above $1, supported by geopolitical tensions in the Middle East and Ukraine. Investors also focused on US jobs data and a Federal Reserve policy meeting this week.

 

[FxNet]

Forex Daily Analysis - 04 Aug 2014

EUR/USD plunged after eurozone and German PMI missed desires. The euro is exchanging at 1.3384 against a developing US dollar in front of the nonfarm payroll report. European markets prop for a heap of March Purchasing Managers' Index last perusing for July, in a substantial logbook in front of the European Central Bank's arrangement meeting one week from now.

GBP/USD gave up 36 points to trade at 1.6849 after UK PMI printed below expectations. Analysts had forecast a print of 57.2 but actual was at 55.4. The US dollar continued to gain ahead of a rash of data today including the monthly nonfarm payroll report due in a few hours. The US currency has strengthened against all major currencies and gold, and its rally versus the British pound was boosted by weaker than expected housing market and confidence data from the UK.

AUD/USD gathered a bit of momentum against the strong US dollar after retail sales beat expectations this morning, but there wasn’t much of a rally as the Aussie added 9 points to trade at 0.9323. Lackluster Chinese nonmanufacturing PMI weighed on the currency. RETAIL sales rose 0.6 per cent in June, and were stronger than expected in the second quarter of the fiscal year, largely owing to strong demand from home furnishings as housing construction starts to accelerate.

USD/JPY is exchanging at 102.65 up by 4 pips as the US dollar continues to gain momentum while the JPY shows weakness. Call for action from the Bank of Japan might indicate additional stimulus this month. Japanese economic data has been lackluster and there might be a downward revision to growth coming this week. Major private-sector think tanks suspect the economy shrank by an annualized rate of 7.4 percent on average from April to June, in price-adjusted real terms.

Gold recovered $3 to trade at 1285.80 ahead of today’s nonfarm payroll report. Traders bought up the cheap asset but it still remains weak. Gold was stuck near a six-week low and headed for a third straight weekly loss, as U.S. economic optimism offset any safe-haven demand from geopolitical tensions and lower equities

 

[FxNet]

Fundamental Analysis August 5

EUR/USD is exchanging at 1.3429 down a pip after Spanish unemployment moved higher than anticipated. The euro was 0.4 percent from its most minimal level versus the dollar since November as financial specialists held the biggest position in two years wagering on a drop in the cash before the locale's national bank meets this week.

GBP/USD gained 7 points to trade at 1.6828 after UK construction PMI beat expectations helping the pound to rally.House price growth will slow sharply in the UK as building work picks up, a stronger pound puts off foreign investors in London property, and the rules around the mortgage market are tightened.

AUD/USD gathered a bit of momentum against the strong US dollar after retail sales beat expectations this morning, but there wasn’t much of a rally as the Aussie added 9 points to trade at 0.9323. Lackluster Chinese nonmanufacturing PMI weighed on the currency. RETAIL sales rose 0.6 per cent in June, and were stronger than expected in the second quarter of the fiscal year, largely owing to strong demand from home furnishings as housing construction starts to accelerate.

USD/JPY is exchanging at 102.65 up by 4 pips as the US dollar continues to gain momentum while the JPY shows weakness. Call for action from the Bank of Japan might indicate additional stimulus this month. Japanese economic data has been lackluster and there might be a downward revision to growth coming this week. Major private-sector think tanks suspect the economy shrank by an annualized rate of 7.4 percent on average from April to June, in price-adjusted real terms.

Gold is trading at 1295.40 basically flat for most of the day, but moving between small gains and losses as traders recover from last week’s big events. Gold is expected to remain flat until the ECB meeting later this week but can move on headlines. Gold traded little changed above a six-week low in London as investors assessed the health of the U.S. economy after last week’s jobs report.

 

[FxNet]

Fundamental Analysis August 6

EUR/USD maneuvered by 34 focuses as dealers start to concentrate on developing financial and saving money issues in the eurozone. The euro tumbled to 1.3388 in front of Thursday's ECB meeting. Later in the day, the spotlight movements to ISM Non-Manufacturing Composite gage. Economists recommend the discharge will reveal to US benefit part development quickened to the speediest pace in 11 months in July.

GBP/USD rallied after a strong Services PMI print beat expectations pushing the pound to 1.6868 up by 7 points. The British currency strengthened against the other key counterparts in the early European session on Tuesday after data showed that U.K. services PMI rose more-than-expected in July.

AUD/USD fell below the 93 price level as the US dollar gained momentum this morning. The AUD gave up 5 points to trade at 0.9299. The Australian dollar is lower after US stocks lost almost one per cent on concerns that the conflict in Ukraine could worsen. Polish Foreign Minister Radoslaw Sikorski told reporters overnight that Russia had increased its military presence on the Ukraine border, suggesting a possible escalation in the conflict.

USD/JPY eased by 7 points as the JPY continued to gather momentum on safe haven trades after Russia moved troops closer to the Ukraine border and President Putin threatened sanctions against the West. Geopolitical tensions continue to raise sending traders to risk off mode.

Gold was a surprise and gained today adding $3.60 to trade at 1292.50 after the US dollar picked up momentum to climb to trade at 81.54 and silver fell. Gold held steady below $1,300 an ounce on Tuesday, although a strong dollar and the first outflow in more than a week from the world’s top bullion fund weighed on sentiment.

 

[FxNet]

Fundamental Analysis August 7

EUR/USD kept on decliing exchanging at 1.3369 after German production line requests missed desires. The euro slipped to a nine-month low on Wednesday, broadening its misfortunes after information demonstrated a sharp drop in German mechanical requests, while the New Zealand dollar took a hit after a fall in dairy costs. A Singapore-based dealer said financial specialist hazard revultion on worries about the strains in Ukraine served to reinforce the dollar extensively, and weighed on the euro.

GBP/USD eased 44 points to trade at 1.6842 after industrial and manufacturing production missed expectations following a drop in PMI last week. Businesses and taking on more staff, but a strong sterling is hurting exports. The Confederation of British Industry (CBI), the UK’s largest business lobbyist, said in its monthly SME manufacturing survey for July that 31% of firms reported output increasing, while 16% said that it decreased, giving a balance of +15%.

AUD/USD took a major fall after the release of unemployment numbers this morning tumbling to 0.9285 down 69 points when just last month traders were hoping to see the currency break 95. The unemployment rate has surged to a 12-year high in July as the number of Australians in jobs went backwards, adding to political pressure on the government.

USD/JPY tumbled on Wednesday to trade at 102.12 and recovered 7 points this morning to reach 102.19 after the greenback lost a bit of its momentum. US data remained positive with the trade balance narrowing well below forecasts as exports skyrocketed again this month. The Bank of Japan (BoJ) looks set to bring no major surprises at its policy meeting this week, but the market will be keeping an ear out for any changes in Governor Haruhiko Kuroda’s optimistic stance on the economy.

Gold was steady after climbing in the Asian session adding $6.50 to trade at 1291.80. Gold edged up slightly and could benefit from a bout of market risk aversion as fears of increasing military action along the Ukraine border put global equities under pressure. Geopolitical tensions in Ukraine and the Middle East have largely been responsible for gold’s 7 percent gain this year. Gold, often seen as alternative investment to riskier assets such as equities, could gain if stocks fall further.

 

[FxNet]

Fundamental Analysis August 8

EUR/USD moved by 3 focuses in front of today's ECB declaration. The national bank is relied upon to hold rates and approach. The firecrackers will come amid Mr. Draghi's question and answer session late in the exchanging day. ECB authorities have said quantitative maneuvering is a choice, however remarks by the bank's German unexpected propose the bar may be high.

GBP/USD is holding at 1.6844 ahead of the BoE announcement. Policy makers will keep their asset-purchase target at 375 billion pounds, and the benchmark interest rate has been at 0.5 percent since March 2009. “As the economy normalizes, Bank Rate will need to start to rise in order to achieve the inflation target,” Carney said in a speech in Glasgow, Scotland, on July 23. “But the MPC has no pre-set course and the timing of any increases in interest rates will be determined by the data.”

AUD/USD tumbled to trade at 0.9256 while the US dollar held strong, after President Obama announced airstrikes in Iraq surprising the world. There was little reaction to the Chinese trade balance which printed in the green at 47.30 billion against expectations of 27.00 billion, although imports tumbled leaving questions about the Chinese recovery.

USD/JPY gave up 29 points this morning to trade at 101.80 as the yen surged on safe haven buying after the Americans announced an air offensive against ISIS in Iraq. President Barack Obama authorizes the U.S. military to conduct airstrikes against Islamist forces as needed but says the nation would not send new ground troops there.

Gold gave back some of yesterday’s gains to trade at 1305.40. Gold held on to overnight gains above $1,300 on Thursday, trading near its highest in more than a week as fears of Russian military action against Ukraine and retaliation by Moscow over Western sanctions burnished gold’s appeal as a safe haven.

 

[FxNet]

Forex Daily Analysis - 11 Aug 2014

EUR/USD recouped and included 27 focuses today, as German exchange offset numbers missed desires yet sends out for surpassed imports helping giving a superior take a gander at the report. The US dollar pushed higher against the euro and the pound on Thursday after the European Central Bank and the Bank of England left their financial stances unaltered in strategy surveys.

GBP/USD eased by 23 points to trade at 1.6809 and looks to break into the 1.67 range but the US dollar continued to weaken as traders worry about the US entering the war in Iraq after President Obama approved air strikes against ISIS. The pound was weighed down by disappointing trade balance numbers along with worries about Scotland leaving the United Kingdom

AUD/USD gained 6 points to trade at 0.9282 against a strong dollar. Traders this morning are correcting an overreaction late last week when the Aussie tumbled on global stress and a mixed up Chinese trade balance print. Positive data from China over the weekend helped support the currency.

USD/JPY gained 12 points as the yen declined after lackluster data and a dovish BoJ monthly report. The pair moved to trade at 102.16. The Bank of Japan on Friday maintained record stimulus after recent production and export data highlighted weakness that could challenge Governor Haruhiko Kuroda’s push to stoke faster inflation.

Gold is holding on to early morning gains trading at 1318.50 as geopolitical tensions are the only market focus after President Obama approved air strikes in Iraq and war returned to Gaza. Spot gold prices rose this morning on increasing safe haven bids and gained more than half a percent amid rising tensions in Iraq and Ukraine. Prices turned positive on reports that U.S. President Barack Obama approved air strikes and emergency relief airdrops to help 40,000 religious minorities in Iraq, who are trapped on a mountaintop after threats by Islamic militants.

 

[FxNet]

Forex Daily Analysis - 13 Aug 2014

EUR/USD given way today after German information hit the ropes. The euro tumbled to exchange at a 9 month low, falling 45 focuses to exchange at 1.3338. The euro slid Tuesday after a droop in German monetary notion further powered stresses that the financial standoff with Russia over the clash in Ukraine is harming Europe's economy.german government obligation turned higher, while German shares falled behind a pickup in most local value markets.

GBP/USD eased by 8 points on the prospect of a disappointing UK jobs data to trade at 1.6778. BoE Governor Mark Carney will address the press after the inflation report, which is also going to be crucial for sterling. What follows is another important event – the second quarter GDP data, due on Friday. The UK claimant count is forecast to have dropped by 30,000 in July compared to the 36,300 drop recorded in June. Forecasters see the ILO unemployment rate for the three months to June at 6.4%, down from 6.5% in May.

AUD/USD eased by 3 points against the dollar rally. Strong data from Oz helped fight off the climbing US dollar. Australian house prices beat expectations along with the NAB business survey. The Australian dollar has stabilized following dramatic moves last week when the currency fell to two-month lows on the back of weaker-than-expected data and economic growth forecasts from the central bank.

USD/JPY climbed 13 points as traders moved away from safe haven trades leaving the JPY weak after a rash of disappointing economic data yesterday and last week as traders wait for the release on industrial production numbers. The US dollar surged 10 points in the morning session climbing to 81.61. On Monday, the US dollar rallied against the yen and euro after the unit plunged in the wake of last week’s announcement that Washington had authorized air strikes in Iraq.

Gold is moving between small gains and losses trading at 1311.60 but hugging the $1310 price level all day as geopolitical risks kept markets watchful. In Iraq, a new political crisis was brewing just days after Washington launched its first military action against insurgents from the Islamic State.

 

[FxNet]

Forex Daily Analysis - 14 Aug 2014

GBP/USD tumbled 103 focuses after remarks from Bank of England Governor to exchange at 1.6708 in the wake of hopping on better than anticipated employments information. The pound tumbled to a two-month low versus the dollar as merchants pushed back their desires for premium rate expands after the Bank of England cut its estimate for pay development. The British pound spiked quickly before tumbling.

AUD/USD added 13 points to trade at 0.9281 after a significant jump in consumer confidence. Weak economic data and a downbeat central bank statement dampened sentiment towards the Australian dollar recently, but one analyst told CNBC investors shouldn’t give up faith. The currency fell 2.6 percent from its July 1 year-to-date high of $0.9504 against the U.S. dollar to a two-month low of around $0.9236 last week amid rising unemployment and a weaker growth outlook.

USD/JPY gained 4 points to trade at 102.30 after Japanese GDP missed expectations. Gross domestic product shrunk by an annualized 6.8% in the three months ended June, Japan’s Cabinet Office said Wednesday. The result was actually better than the 7% contraction expected by economists. Government officials were more sanguine about Wednesday’s data. Economy Minister Akira Amari said the figure didn’t change the government’s outlook that the economy continues to improve steadily. He said the government would respond flexibly on the economy but added that he didn’t currently see a need to compile an additional budget.

Gold was directionless today, remaining flat in the Asian session and moving between small gains and losses during European trading to sell for 1310.20. The Federal Reserve is cutting debt purchases and contemplating interest-rate increases as the economy strengthens. The dollar was near a nine-month high versus the euro after data showed yesterday German investor confidence slumped and before a report today that may show U.S. retail sales increased for a sixth month.

 

[FxNet]

Fundamental Analysis August 15

EUR/USD recuperated 27 focuses to exchange at 1.3391 after a large number of blended information and a confounded ECB month to month report. The dollar gave back increases the greater part of the morning to trade at 81.53. Euro zone swelling will be weaker than long ago expected in the not so distant future and next, an overhauled review for the European Central Bank showed today, obscuring the euro zone's monetary standpoint.

GBP/USD is flat today holding at 1.6691 after disappointing inflation information and comments from the central bank on Wednesday. The BoE lowered its growth estimate for U.K. wages to 1.25% for the year, down from 2.5%, or half of the previous estimate; 2015 wage growth estimates were also revised downward.

AUD/USD eased by 8 points to trade at 0.9298 after iron ore prices tumbled to their weakest this month weighing on the Aussie. Earlier in June, the iron ore price dropped to as low as $US89 a ton, but despite a minor rebound since then year-to-date falls are still over 30 per cent. The latest downward move comes amid continued oversupply in the market due to increased supply from heavyweights like BHP Billiton and Rio Tinto and softer demand from China.

USD/JPY continued to rise as the US dollar gained momentum as traders overlooked weak US data but focused on a significant drop in Japanese GDP. The USDJPY is trading at 102.60 up by 17 points this morning. The Japanese Yen traded on a negative note and depreciated around 0.2 percent yesterday on the back of expectation that global policy makers will keep borrowing costs low for longer, damping demand for haven assets. The Yen touched an intra-day low of 102.36.Japan’s Core Machinery Orders gained 8.8 percent in June as against a fall of 19.5 percent in June.

Gold is moving between small gains and losses holding at 1315.80. Gold consumption fell by an annualized 16 percent in the second quarter of 2014 as Chinese and Indian buyers cut back on record purchases a year earlier, sector data showed.

 

[FxNet]

Fundamental Analysis August 22

EUR/USD gained 8 points as traders breathed a sigh of relief when PMI numbers were not as bad as expected. The US dollar gave back some early gains but remains strong at 82.29. Data from Germany eased pressure on the struggling euro today after speculation of an earlier rate rise from the Federal Reserve had pushed the dollar to an 11-month high. Share markets had been feeling flat following a disappointing survey on Chinese manufacturing overnight but they too got a lift from the news that Germany’s private sector grew for a 16th month running in August.

GBP/USD is trading at 1.6588 down just 6 points after a strong retail sales release. The pound, down more than six cents in the past month, had gained a foothold on Wednesday after minutes from the Bank of England’s own last policy meeting showed the first dissenting votes on its policy committee for a rise in interest rates. But a similarly hawkish message from the Fed sent the dollar higher across the board after UK markets closed, driving the pound to less than $1.66 for the first time since early April.

AUD/USD lost 6 points to trade below 93 touching 0.9296 after a speech from RBA Governor Stevens. In Australia, the Reserve Bank Governor gave testimony to the House of Representatives Economics committee. In the US, weekly mortgage finance data is released with the minutes of the last Federal Reserve meeting.

Gold tumbled $13.60 to trade at 1281.60 as traders moved to more profitable assets. Gold extended losses to a fifth session on Thursday, dropping to a two-week low after the US dollar strengthened on indications from the US Federal Reserve that it could raise interest rates sooner than expected. A surprisingly strong recovery in the US job market could lead the Fed to raise interest rates earlier than it had been anticipating, minutes from the Fed’s July meeting showed, although most officials wanted further evidence before changing their view.

 

[fxapex]

EURUSD has been trading between a range and its has to figure out the further outcome, its only better for making short trades.

 

[FxNet]

Daily Fundamental Analysis FxNet June 2

After two weeks of gains the U.S. dollar reached its 12 and a half year high against the Japanese yen over the weekend, almost touching 125.00 yen a number it has not touched since 2002.

On Tuesday the USD/JPY pair added 0.08 percent and traded at 124.88.
Elsewhere the U.S. dollar was stronger than the Australian dollar which lost 76 U.S. cents for the first time in seven weeks. The Australian dollar remained at 0.7630 dollars ahead of the Reserve Bank of Australia (RBA) interest rate decision.

Overnight the Euro faltered against the strengthening dollar, and reached the low of 1.0886. Tuesday morning the Euro edged slightly higher with the EUR/USD pair adding 0.21 percent and trading at 1.0948.

The Euro despite its struggle with the ongoing Greece situation also rose against the Japanese yen with the EUR/JPY pair reaching a two week high of 136.62.

Expectations that the Organization of the Petroleum Exporting Countries (OPEC) would not cut output dampened oil prices. The Organization is set for a meeting on Friday to decide on a production strategy and whether it will cut back. Expectations are that it won’t.

Brent crude for July lost 0.57 cents on the Intercontinental Exchange (ICE) and was at 64.99 dollars a barrel.

Brent crude fell back to 64.85 dollars a barrel.

Gold futures for August on the Comex of the New York Mercantile Exchange added 0.04 percent to 1,189.20 dollars a troy ounce.

Silver for July delivery added 0.03 percent to 16.737 dollars a troy ounce.
Copper for July delivery added 0.11 percent to 2.717 dollars a pound.

 

[FxNet]

Daily Fundamental Analysis from FxNet

The Japanese Yen rose against its U.S. counterpart on Wednesday following comments by Bank of Japan (BOJ) Governor Haruhiko Kuroda saying the yen is not likely to get weaker. By Thursday the U.S. dollar rebound against the yen.

The USD/JPY pair added 0.46 percent and reached 123.19.
The AUD/USD added 0.21 percent on Thursday and reached 0.7793 as the Aussie was supported by positive data release.

The dollar also rose against the Euro with the EUR/USD pair falling to 1.1305. On Wednesday the pair traded in the range of 1.1264 and 1.1386. It was expected to find support at 1.0913 and resistance at 1.1450.

The U.S. dollar index which measures the currency against 6 other major currencies added 0.22 percent and was at 94.79.

Elsewhere the Australian dollar was also higher against the New Zealand dollar. The AUD/NSD pair added 2.62 percent and was at 1.1048.

The World Bank released its twice a year Global Economic Prospects report, and its prediction for the global economy was lower than its January prediction. While 6 months ago its prediction was for a 3 percent growth, it now reported a 2.8 percent expansion prediction.

On Thursday front month crude oil prices lost 11 cents and traded at 65.59 dollars a barrel.

U.S. crude lost 25 cents and was at 61.18 dollars a barrel.

Gold for August delivery on the Comex of the New York Mercantile Exchange lost 0.08 percent and was at 1,185.60 dollars a troy ounce.

Silver for July delivery added 0.15 percent and was at 15,983 dollars a troy ounce while copper for July delivery added 0.05 percent and was at 2,744 dollars a pound.

 

[FxNet]

Fundamental Analysis by FxNet Jun 25

The Euro was majorly affected by Greece’s meeting with its creditors that ended in a rejection of the proposal due to differences. Greece is ever close to the June 30th deadline by which it has to reach a deal to unlock funds and repay the International Monetary Fund (IMF) loan to avoid defaulting on its debt.

The Euro lost 0.18 percent against the yen and the EUR/JPY pair fell from 138.76 (Late Wednesday’s number) to 138.50. Even against the Japanese Yen the Euro was weaker and the EUR/JPY pair fell from 138.76 (Late Wednesday’s number) to 138.50.

The U.S. dollar was slightly weaker than the Japanese yen the USD/JPY pair fell to 123.56.

Against the British pound the dollar was also stronger and the GBP/USD pair lost 0.11 percent and traded at 1.5716.

The USD/CHF pair lost 0.11 percent and fell to 1.5716, the AUD/USD lost 0.54 percent and was at 0.7695.

The U.S. dollar index which measures the greenback against a basket of six currencies was slightly higher at 95.53.

Brent Crude for August delivery added 2 cents and was at 63.51 dollars a barrel.

“For today we continue to expect prices to move sideways with a strong resistance at 61.80 dollars and 65 dollars for West Texas Intermediate (WTI) and Brent, and support 50 dollars and 62.38 dollars” said Phillip Futures in a note.

Gold futures for August delivery added 0.26 percent on the Comex of the New York Mercantile Exchange and were at 1,176.00 dollars a troy ounce during Thursday’s morning European Trading hours. It was expected to find support at 1,162.10 dollars and resistance at 1,200.80 dollars.

Elsewhere on the Comex silver futures for July lost 0.08 percent and were at 15.84 dollars a troy ounce and Copper for July delivery lost 0.27 percent and was at 2.618 dollars a pound.

MSCI’s index of Asia Pacific shares outside Japan lost 0.3 percent. Japan’s Nikkei Stock index lost 0.5 percent. On Wednesday optimist around the Greek situation had pushed the index close to its t 20 year high.

European shares were also dimmed with Britain’s FTSE 100 opening 11 to 12 points lower, Germany’s DAX was expected to lose 41 points and France’s CAC 40 to lose 19 points.

On Thursday the FTSEurofirst 300 lost 0.5 percent and was at 1,569.82 points, Hennes & Mauritz lost 2.2 percent.

Elsewhere U.S. stock futures were higher by 0.2 percent in Thursday’s early Asian trade.