Market Review - 15/09/2014 22:03GMT
Dollar retreats broadly on minor profit-taking ahead of Fed 2-day meeting
The single currency opened higher in New Zealand on Monday and then re-tested last Friday's near 1-week high of 1.2980, however, selling quickly emerged and pressured price to 1.2916 in Europe and then 1.2909/10 in New York.
The greenback traded inside a narrow range of 107.16-107.36 in Asia and Europe on Monday due to the closure of financial markets in Japan. Despite initial gap-down open to 107.16, the pair rebounded to 107.36 in Asian morning and then traded sideways inside 107.16-107.36 range in Europe. Price later tumbled to 107.01 after the release of weaker-than-expected U.S. industrial and manufacturing output which came in at -0.1% m/m and -0.4% m/m versus the economists' forecast of 0.3% m/m and 0.3% m/m respectively.
Despite cable's marginal gain above last Friday's high of 1.6277 to 1.6279 in New Zealand after weekend poll result showed unionists held a slight lead, renewed selling interest knocked price lower to 1.6229 in Asia and then rebounded to 1.6268 in Europe and then traded inside the established range of 1.6229-1.6779. Bloomberg reported U.K. PM David Cameron will return to Scotland for the 2nd time in a week and will deliver a speech to lobby voters today to remain in the U.K.
In other news, the Organisation for Economic Co-operation and Development (OECD) released its growth forecasts, in which it 'cuts U.S. 2014 GDP growth forecast to 2.1% fm 2.6% in May; cuts euro area GDP growth forecast to 0.8% from 1.2% in May; cutes Japan's GDP growth forecast to 0.9% from 1.2% in May; cutes Germany's 2014 GDP growth forecast to 1.5% from 1.9% in May; cuts France's GDP growth forecast to 0.4% from 0.9% in May; cuts Italy's GDP growth forecast to -0.4% from 0.5% in May; trims Britain's GDP growth forecast to 3.1% from 3.2% in May.'
Tuesday will see the release of Australia's RBA meeting minutes, U.K. CPI, PPI and RPI, Bank of England quarterly bulletin, Germany's ZEW current conditions and economic sentiment, U.S. core PPI final demand, Canada's manufacturing sales, U.S. Redbook and overall net capital flows.
Dollar retreats broadly on minor profit-taking ahead of Fed 2-day meeting
The single currency opened higher in New Zealand on Monday and then re-tested last Friday's near 1-week high of 1.2980, however, selling quickly emerged and pressured price to 1.2916 in Europe and then 1.2909/10 in New York.
The greenback traded inside a narrow range of 107.16-107.36 in Asia and Europe on Monday due to the closure of financial markets in Japan. Despite initial gap-down open to 107.16, the pair rebounded to 107.36 in Asian morning and then traded sideways inside 107.16-107.36 range in Europe. Price later tumbled to 107.01 after the release of weaker-than-expected U.S. industrial and manufacturing output which came in at -0.1% m/m and -0.4% m/m versus the economists' forecast of 0.3% m/m and 0.3% m/m respectively.
Despite cable's marginal gain above last Friday's high of 1.6277 to 1.6279 in New Zealand after weekend poll result showed unionists held a slight lead, renewed selling interest knocked price lower to 1.6229 in Asia and then rebounded to 1.6268 in Europe and then traded inside the established range of 1.6229-1.6779. Bloomberg reported U.K. PM David Cameron will return to Scotland for the 2nd time in a week and will deliver a speech to lobby voters today to remain in the U.K.
In other news, the Organisation for Economic Co-operation and Development (OECD) released its growth forecasts, in which it 'cuts U.S. 2014 GDP growth forecast to 2.1% fm 2.6% in May; cuts euro area GDP growth forecast to 0.8% from 1.2% in May; cutes Japan's GDP growth forecast to 0.9% from 1.2% in May; cutes Germany's 2014 GDP growth forecast to 1.5% from 1.9% in May; cuts France's GDP growth forecast to 0.4% from 0.9% in May; cuts Italy's GDP growth forecast to -0.4% from 0.5% in May; trims Britain's GDP growth forecast to 3.1% from 3.2% in May.'
Tuesday will see the release of Australia's RBA meeting minutes, U.K. CPI, PPI and RPI, Bank of England quarterly bulletin, Germany's ZEW current conditions and economic sentiment, U.S. core PPI final demand, Canada's manufacturing sales, U.S. Redbook and overall net capital flows.
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