Slight Dollar Bid Skew Ahead Of Consumer Confidence
A dull start to the FX markets this week following last week’s taper debacle. A bearish Fed Chairman, along with FOMC members Lockhart, Fisher and Dudley are not deviating far from the Fed chair’s script that the taper is totally data dependant. The highlight today will be the release of US consumer confidence this afternoon at 3pm but the market is already focusing on next Friday’s US jobs report for the next leg of the dollar, although I believe that the quarter end rebalancing should not be ignored. Japanese exporters are normally extremely active this month, along with the EU farmers subsidiary payment that is due to the UK thanks to the late legend Baroness Thatcher. The overnight session highlight came from New Zealand where Fonterra raised their milk payment forecast to NZD8.30 per KG which saw the bird rally 15 points. As I mentioned above the US consumer confidence will be today’s highlight at 3pm along with the German IFO survey due for release at 9am this morning. There is second tier data from the UK at 9.30am in the form of mortgage applications, with two more Fed members due to speak this afternoon/evening. Pianalto and George are looking to no doubt remind us that tapering is data dependant.EUR/USD Supports 1.3475-1.3450-1.3380 | Resistance 1.3580-1.3630-1.3715EUR/USD Supports 1.3475-1.3450-1.3380 | Resistance 1.3580-1.3630-1.3715GBP/USD Supports 1.5980-1.5925-1.5885 | Resistance 1.6080-1.6125-1.6165Disclosure: FX Solutions assumes no responsibility for errors, inaccuracies or omissions in these materials. FX Solutions does not warrant the accuracy or completeness of the information, text, graphics, links or other items contained within these materials. FX Solutions shall not be liable for any special, indirect, incidental, or consequential damages, including without limitation losses, lost revenues, or lost profits that may result from these materials.The products offered by FX Solutions are leveraged products which carry a high level of risk to your capital with the possibility of losing more than your initial investment and may not be suitable for all investors. Ensure you fully understand the risks involved and seek independent advice if necessary.