Forexlive Americas FX news wrap: Dollar little changed in holiday trading
Forex news for New York trading on Friday, October 6, 2017
- Forex technical analysis: USDJPY breaks below lower floor level
- Stocks trading near the day lows
- Risk on the EURUSD from Catalan tomorrow...
- Bitcoin technicals: Bitcoin trades at highest level since September 1
- Janus Capital Bill Gross: Fed wants to normalize rates
- Russian Foreign Minister Lavrov: Escalation of tension on Korea peninsula is unacceptable
- UK PM May to UK business leaders: Companies should think of 2-year transition period as assured
- ECB Lautenschläger: Bond purchases will come to end while interest rates
- European stocks end the session mostly higher
- UK PM May: Wants a creative solution to new economic relationship w/ EU post-Brexit
- OPEC Sec. General: Clear evidence the oil market is rebalancing
- Oil ministry spokesman: Saudi Arabia is committed to rebalancing oil market
- It is all about the GBP today (strongest). The NZD is the weakest.
In other markets today:
- Spot gold is trading at $1284.91, up $8.30. A general flight into safety bid
- WTI crude oil is traing up $0.24 or +0.49% to $49.53
- US stocks are ending the session in the red. The Dow and Nasdaq did make new record intraday highs at 6599.34 and 22803.37 respectively but are ending the day in the red. The S&P fell short of its record high. The S&P closed down -4.60 points or -0.18%. The Nasdaq closed down -10.45 points or -0.16%. The Dow is ending down -12.6 points or -0.06%
The winner today was the GBP. It rose against all the major currencies, but in the North American session, it gave up some of the trend gains before rebounding a bit into the close. The NZD was the weakest. The USD was little changed against most of the major currencies with the exception of the moves against the GBP (-0.61%) and the NZD (+0.34%).
The EURUSD got some support in the NA session from more hawkish comments from ECB Lautenschläger. The EURUSD was trading near low levels for the day at 1.1724 and eventually took out the high for the day and traded above the 200 hour MA at 1.17504. The pair is ending just below that MA level at 1.1748 into the close.
The USDJPY lost some ground in the last few hours of trading after stocks turned more to the downside, but like the EURUSD, it too stalled at the 112.50 level before bouncing about 10-12 pips into the close.
For the GBPUSD, the pair rallied into the NY session but stalled near the 100 hour MA (currently at 1.31636). The price moved above that MA early in the NY session but stalled and spent the rest of the session below the level. In the new trading day, that MA will be a key ceiling to stay below if the sellers are to remain in control.