Article source: forexminute.com
The US dollar had a mixed performance in recent FX trading, as the lack of top-tier reports from the economy kept it as a counter currency. There are still no major reports lined up from the US economy today, which suggests that risk aversion might be responsible for driving the dollar’s price action in the next trading sessions.
The euro managed to hold its ground against the dollar and yen in yesterday’s FX trading sessions but gave up some of its recent gains to the commodity currencies. Talks of a Greek exit from the euro zone have been dominating the headlines but it appears that traders have already priced in this possibility a long while back. Data from the euro zone turned out stronger than expected, as Italy and France both printed upbeat industrial production reports. For today, there are no major reports lined up from the euro zone.
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The pound was mostly stuck in consolidation to the dollar but was able to advance against the Japanese yen, despite weaker than expected manufacturing production data from the UK. There are no reports lined up from the UK today, which means that the pound could be in for a bit of FX trading consolidation ahead of tomorrow’s BOE Inflation Report.
The franc continued its tight consolidation against its FX trading peers, as market watchers are waiting for stronger catalysts or directional signals from Switzerland. The Swiss jobless rate came in better than expected, as the reading improved to 3.1%, while its CPI reading came in line with expectations of a 0.4% drop. There are no reports due from Switzerland today.
The yen lost ground as risk appetite improved in yesterday’s trading sessions, spurred mostly by the ongoing rebound in commodity prices. Data from Japan was also weaker than expected, with the tertiary industry activity index marking a 0.3% decline versus the projected 0.1% uptick. Japanese banks are on holiday today, which suggests that yen pairs could be driven by market sentiment once more.
The comdolls continued their ascent as they benefitted from the rebound in commodity prices these days. Not even the weak inflation figures from China, which indicated a fall in the annual CPI from 1.5% to 0.8% and a sharp decline in PPI, were enough to keep the Aussie’s gains in check. Earlier today, Australia reported an 8.0% jump in Westpac consumer sentiment, giving the Aussie another boost. No other reports are due from the comdoll economies today.
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