Market Review - 20/11/2014 22:56GMT
Dollar yen falls from 7-year highs on profit taking despite upbeat U.S. data
The greenback ratcheted higher to a fresh 7-year high at 118.98 in European morning on Thursday following Wednesday's release of FOMC minutes, the pair retreated on profit-taking together with cross unwinding in jpy due to the decline in Nikkei futures and price fell to 117.75 in New York before rebounding.
On the data front, U.S. jobless claims came in at 291K versus forecast of 285K. U.S. CPI mm n yy came in higher-than-expected at 0.0% and 1.7% versus forecasts of -0.1% and 1.6% respectively. U.S. manufacturing PMI came in weaker-than-expected at 54.7 versus forecasts of 56.4.
Fed's Tarullo said 'risks remain in financial markets despite steps to regulate liquidity; more work remains on liquidity buffers; when central banks should backstop banks; liquidity regulation could generate unintended effects; firms that fall below regulatory thresholds in times of stress should be judged in context; more action may be needed to 'consolidate' progress in promoting financial stability.'
The single currency swung wildly again on Thursday. Despite staging a brief bounce fm 1.2524 to 1.2575, euro nose-dived to 1.2505 after the release of downbeat German & EZ PMIs. EZ manufacturing and services PMI came in weaker-than-expected at 50.4 and 51.3 versus forecasts of 50.8 and 52.4 respectively. however, the pair rebounded again to 1.2769 in New York morning before moving sideways. EZ manufacturing n services PMI came in weaker-than-expected at 50.4 n 51.3 vs forecasts of 50.8 n 52.4 respectively.
Although cable remained under pressure in Asia n retreated to session low at 1.5632 at European open, price pared its losses n rebounded to 1.5671 on cross-buying of sterling vs euro after the release of weak German PMIs. Cable ratcheted higher to 1.5688 (Reuters) in European morning after the release of upbeat UK retail sales data. UK retail sales mm n yy came in better-than-expected at 0.8% and 4.3% versus forecasts of 0.3% and 3.8% respectively.
Friday will release U.K. PSNCR and Canada CPI.
Dollar yen falls from 7-year highs on profit taking despite upbeat U.S. data
The greenback ratcheted higher to a fresh 7-year high at 118.98 in European morning on Thursday following Wednesday's release of FOMC minutes, the pair retreated on profit-taking together with cross unwinding in jpy due to the decline in Nikkei futures and price fell to 117.75 in New York before rebounding.
On the data front, U.S. jobless claims came in at 291K versus forecast of 285K. U.S. CPI mm n yy came in higher-than-expected at 0.0% and 1.7% versus forecasts of -0.1% and 1.6% respectively. U.S. manufacturing PMI came in weaker-than-expected at 54.7 versus forecasts of 56.4.
Fed's Tarullo said 'risks remain in financial markets despite steps to regulate liquidity; more work remains on liquidity buffers; when central banks should backstop banks; liquidity regulation could generate unintended effects; firms that fall below regulatory thresholds in times of stress should be judged in context; more action may be needed to 'consolidate' progress in promoting financial stability.'
The single currency swung wildly again on Thursday. Despite staging a brief bounce fm 1.2524 to 1.2575, euro nose-dived to 1.2505 after the release of downbeat German & EZ PMIs. EZ manufacturing and services PMI came in weaker-than-expected at 50.4 and 51.3 versus forecasts of 50.8 and 52.4 respectively. however, the pair rebounded again to 1.2769 in New York morning before moving sideways. EZ manufacturing n services PMI came in weaker-than-expected at 50.4 n 51.3 vs forecasts of 50.8 n 52.4 respectively.
Although cable remained under pressure in Asia n retreated to session low at 1.5632 at European open, price pared its losses n rebounded to 1.5671 on cross-buying of sterling vs euro after the release of weak German PMIs. Cable ratcheted higher to 1.5688 (Reuters) in European morning after the release of upbeat UK retail sales data. UK retail sales mm n yy came in better-than-expected at 0.8% and 4.3% versus forecasts of 0.3% and 3.8% respectively.
Friday will release U.K. PSNCR and Canada CPI.
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