Forex news for the European trading session 14 June 2017

News:

  • May's deal with the DUP likely to be delayed
  • Weidmann says ECB at risk of coming under political pressure to keep policy loose
  • IEA says global crude oil demand will grow by 1.5m bpd in 2018 vs 1.3m bpd in 2017
  • IMF raises GDP growth forecast for China to 6.7% vs 6.6% prev
  • China data today - recap ... consumers, factories hold up as global outlook brightens
  • Economists divided on how the BOJ should spell out its exit strategy
  • Forex option expiries for the 10am New York cut 14 June
  • Nikkei 225 closes down -0.08% at 19,883.52

Data:

  • UK May jobless claims change 7.3k vs 20.3k exp
  • China May M2 money supply yy 9.6% vs 10.4% prev
  • Germany May CPI final mm -0.2% vs -0.2% exp
  • Eurozone April industrial production mm SA 0.5% as exp
  • Japan April mm capacity utilization leaps to 4.3%

The Aussie dollar may have had a very solid session moving to 0.7589 from 0.7550 as ore prices remain firm but it's the pound that's given the headline writers most work.

Early gains suggested a leak of stronger data but more likely some opportunistic triggering of stops on GBPUSD through 1.2750 and a rapid move to 1.2785 before capping at 1.2797.

As it happened the UK jobs data was ok but once again it was wages that focussed the attention and a soggy report saw an immediate test of 1.2750 then further retreat to 1.2722 before holding.

EURGBP fell from 0.8800 early doors to post 0.8767 before bouncing on the data to 0.8808 and a similar pattern has been seen across other GBP pairs.

EURUSD had an early look above 1.220 but has been drawn by down by large expiries rolling off at 1.1200 today. USDCHF has needed little excuse to rally from 0.9680 to 0.9711 with EURCHF nudging up to 1.0877 .SNB meeting tomorrow in focus.

USDCAD has found some support at 1.3190 and rallied to test 1.3230 offers/res with oil prices fialling then steadying. WTI down to $45.78 from $46.15 then rallying again to $46.04.

Data risk coming up at 12.30 GMT with US CPI and retail sales before the FOMC deliver their decision at 18.00 GMT