Forex news for European morning trading on July 25 2017
News:
- UK consumer borrowing concerns back in the headlines
- Trump says Attorney General Sessions has taken a VERY weak position on Hillary Clinton crimes
- BOJ's Suzuki says there's lots of headwinds adding to low price growth
- More from Mersch: Monetary accommodation still needed
- IFO say German business going well enough to offset euro FX rate
- EU's Moscovici says Greece returning to bond markets is positive but reforms still needed
- Forex option contract expiries 25 July
- USDJPY in decent rally after holding 110.80
- PBOC will continue to keep appropriate growth in money and credit supply
- Nikkei 225 closes down -0.1% at 19,955.20
Data:
- Germany IFO July business climate 116.0 vs 114.9 exp
- Germany June import price index mm -1.1% vs -0.7% exp
- France June PPI mm -0.4% vs -0.6% prev
- UK CBI July industrial trends total orders 10 vs 12 exp
A session for the intra-day jobber as the FOMC tomorrow casts a shadow and contains price action as we wait on NA desks to make their move.
USDJPY had an early dip to look at 110.80 support but has been the star of the show since as general yen selling has helped underpin core pairs and taking this pair back to test 111.50.
GBPUSD was pulled around by EURGBP early in the session around 1.3025-35 but then CBI data sent the pair down to test 1.3000 and EURGBP up to 0.8959. It all came to a grinding halt though and with the help of GBPJPY demand up to 145.50 we testing 1.3050 and 0.8935 again as I type.
EURUSD threatened to head higher but stalled at 1.1670 but found option related support below 1.1650 while USDCHF rallied to 0.9484 before retreating.
Strong performances by equities have added to the risk-on sentiment and therefore yen selling while oil has also had a decent session with Brent up to $49.56 from $48.80. Gold has naturally fallen from $1257 to $1250 as safe-haven demand reduces but that's not stopped AUDUSD rallying to 0.7958. USDCAD has fallen to 1.2487 on the firmer oil price.
Data wise we have US S&P and consumer confidence while BOE's Haldane speaks at 17.00 GMT.
