ForexLive North American wrap: Bank of Canada shifts hawkishly
- BOC holds rates, says rate hike ‘may become appropriate’
- Schaeuble says Spain does not need a bailout
- ECB’s Ordonez says it’s reasonable to expect that Spanish reforms are enough
- Italy to miss deficit targets
- US March housing starts 654K vs 705K exp
- US industrial production 0.0% vs +0.3% exp
- Canadian Feb manufacturing sales -0.3% vs -0.3% exp
- IMF raises global growth forecast to 3.5% from 3.3%
- IMF calls for unconventional policies and rate cuts from ECB
- Obama dreams up scheme to regulate oil markets
- ECB’s Constancio: markets may be overreacting to Spain
- Spain’s Rajoy says it’s a new episode of the credit crunch
- Egan-Jones downgrades Spain
- Spain reveals bank recapitalization plans
- S&P 500 gains 1.5% to 1390
- CAD leads, JPY lags
Another whippy day for EUR traders. Started at 1.3130 and then tried to make a break for 1.31 at the NY options cut (a time that has been volatile this week) but the down-move was reversed up to 1.3156, setting the range extremes for the session. Afterwards, it was a chop to 1.3127, almost exactly where the US session began.
USD/JPY made a choppy but steady climb higher to 80.90 from 80.65 as risk appetite and stocks made headway.
USD/CAD fell to 0.9864 from 0.9950 after the BOC decision, endangering the 0.9845 rangebottom. Later, USD recovered to 0.9900.
Gold crashed $20 to $1634 before jumping right back to $1650 in what looked like someone trying to unload a position.