The London session price action was on the lackluster side on the heels of pretty vibrant overnight trading on the whole. Not even weaker than expected data across the pond could elicit a break from the sideways consolidation. Eurozone retail sales for February came in a weaker than expected -0.6% and this took the annual run-rate to a dismal -4.0% from -1.7% prior – the worst pace on record.

EUR/USD was little changed and sitting near the 1.3530 open ahead of the NY session.
The pair has headed lower in early NY here and should find some short-term support into 1.3480 initially. The yen crosses were also range-bound. USD/JPY was about -5 pips lower near 101 while EUR/JPY fell an equally modest -10 points into the 136.70/80 zone.

Only Canada data out now with building permits at 0830ET expected to show a -4.0% decline for February and the Ivey purchasing managers index at 1000ET forecast to tick up to 47.0 in March. Better than expected results here should see USD/CAD test back below 1.23 on the follow. Short-term resistance lurks at the 55hr SMA by 1.2340 as well.

Upcoming Economic Data Releases (NY Session) prior expected

  • 4/6 12:30 GMT CA Building Permits MoM FEB -4.60% -4.00%

  • 4/6 14:00 GMT CA Ivey Purchasing Managers Index MAR 45.2 47.0

  • 4/6 17:00 GMT US Fed Governor Warsh Speaks on Financial Markets