The US GDP figures are release in a few minutes, but the USD looks strong ahead of the figures, which will give guidance for both the US rate outlook and todays FX markets
MAJOR HEADLINES – PREVIOUS SESSION
USD
Looking a strong short-term after the bearish, toppish formations in EURUSD and GBPUSD overnight and today.
AUD and NZD
About the only currencies that look strong vs. USD.
EUR and CHF
European currencies look weak and could be in for a reversal, short-term. We don't think that we will see a return to the "range from hell" in EURUSD, though...
JPY
Still looking extremely weak with Carry Trade Trends in GBPJPY and EURJPY continuing.
THEMES TO WATCH – UPCOMING SESSION
Todays US GDP, expected at 1.8% annualized is quite important.
In light of Bernankes comments yesterday on price pressures ("especially troublesome", if they are not easing), GDP Price Index (expected at 1.8% and Core PCE QoQ expected at 2.3%) are very important.
FX ORDERBOOK
