Investors Buz Forex Market Briefs 7.29.16

Investors Buz Forex Market Briefs 7.29.16

Investors Buz Forex Market Briefs 7.29.16

This morning, the greenback is trading lower against most of the major currencies, ahead of the US flash 2Q GDP data, slated to release in a few hours.

The EUR is trading higher against the USD, after Eurozone’s annual inflation advanced to an eight month high in July. Additionally, preliminary GDP data indicated that Eurozone’s economy grew at a slower pace in the second quarter, in line with market consensus. Moreover, the unemployment rate remained steady at 10.1% in June.

The Yen is trading higher against the USD, after the Bank of Japan (BoJ) maintained its benchmark interest rate steady at -0.1% and refrained from boosting the pace of government bond purchase program. However, the central bank expanded the purchase of exchange-traded funds (ETF).

Separately, overnight data revealed that Japan’s unemployment rate dropped unexpectedly to a 21-year low level of 3.1% in June. Moreover, the industrial production rebounded strongly on a monthly basis in June. On the other hand, annual consumer price index declined in June, at par with market expectations. Meanwhile, the BoJ in its quarterly outlook report, disclosed that Japanese economy is expected to grow at a modest pace and also revealed that it expects inflation to hit 2.0% target by 2017.

Yesterday, the greenback traded higher in the New York session, against the key currencies. On the data front, the US initial jobless claims advanced more than forecasted during last week.

 

EURUSD

This morning at 09:40 GMT, the EUR is trading at 1.1110 against the USD, 0.31% higher from the New York close, after Eurozone’s seasonally adjusted GDP expanded 1.6% on a quarterly basis in the second quarter, in line with market expectations. This morning, the pair traded at a high of 1.1110 and a low of 1.1070. The Euro traded 0.23% lower against the US Dollar in the New York session yesterday, with the pair closing the session at 1.1076. In economic news, Germany’s flash consumer price index advanced more than expected on a monthly basis in July. The pair is expected to its find support at 1.1079 and its first resistance at 1.1125.

 

GBPUSD

At 09:40 GMT, the pair is trading at 1.3170, with the Pound trading 0.07% higher against US Dollar from the New York close. Overnight data indicated that, UK’s Gfk consumer confidence index declined more than anticipated in July. The pair witnessed a high of 1.3213 and a low of 1.3145 during the session. Yesterday, the Pound traded marginally higher against the US Dollar in the New York session and ended at 1.3161. Immediate downside, the first support level is seen at 1.3119, while on the upside, the first resistance level is situated at 1.3217.

READ  UK FTSE 100 Midday Briefing for Wednesday June 28

 

USDJPY

This morning, at 09:40 GMT, the US Dollar is trading at 103.54 against the Yen, 1.65% lower from the New York close. Early this morning, the BoJ held its key interest rate steady at -0.1%. During the session, the pair traded at a high of 105.29 and a low of 102.85. Yesterday, the US Dollar traded 0.49% higher against the Yen in the New York session and ended at 105.28.

The pair is expected to its find support at 102.43 and its first resistance at 105.08.

 

USDCHF

The US Dollar is trading at 0.9753 against the Swiss Franc at 09:40 GMT this morning, 0.51% lower from the New York close. In economic news, Switzerland’s KOF leading indicator index unexpectedly rose in July. The pair traded at a high of 0.9817 and a low of 0.9749 this morning. Yesterday, the USD traded marginally higher against the CHF in the New York session and ended at 0.9803. The pair is expected to its find support at 0.9720 and its first resistance at 0.9816.

 

USDCAD

The pair is trading at 1.3168 at 09:40 GMT this morning, with the USD trading 0.13% higher against CAD from the New York close. Moving ahead, investors would eye Canada’s GDP data for May, scheduled to be released in a few hours. The pair traded at a high of 1.3185 and a low of 1.3128 this morning. The US Dollar declined against the Canadian Dollar in the New York session yesterday, closing marginally lower at 1.3151. The pair is expected to its find support at 1.3134 and its first resistance at 1.3197.

 

AUDUSD

The pair is trading at 0.7507 at 09:40 GMT this morning, with the Australian Dollar trading 0.07% higher against US Dollar from the New York close. Macroeconomic data indicated that Australia’s private sector credit rose less than expected on a monthly basis in June. This morning, the pair traded at a high of 0.7549 and a low of 0.7490. The Australian Dollar traded 0.29% lower against the US Dollar in the New York session yesterday, with the pair closing the session at 0.7502. The pair is expected to its find support at 0.7481 and its first resistance at 0.7541.

READ  GBPUSD Pound Steady as BoE Holds Pat

 

Gold

Gold is trading at $1340.40 per ounce at 09:40 GMT this morning, 0.14% lower from the New York close. This morning, the precious metal traded at a high of $1350.70 per ounce and a low of $1335.00 per ounce. Yesterday, gold traded 0.58% lower in the New York session and closed at $1342.30 per ounce, reversing its previous session gains. Immediate downside, the first support level is seen at $1332.73 per ounce, while on the upside, the first resistance level is at $1350.33 per ounce.

 

Silver

The precious metal is trading at $20.14 per ounce at 09:40 GMT this morning, 0.57% lower from the New York close. During the session, silver traded at a high of $20.36 per ounce and a low of $20.01 per ounce. In the New York session yesterday, silver fell 0.74% and closed at $20.25 per ounce. Immediate downside, the first support level is seen at $19.90 per ounce, while on the upside, the first resistance level is at $20.48 per ounce.

 

Oil

The commodity is trading at $40.73 per barrel at 09:40 GMT this morning, 1.02% lower from the New York close. Crude oil witnessed a high of $41.20 per barrel and a low of $40.57 per barrel during the session. In the New York session yesterday, crude oil fell 1.79% to close at $41.15 per barrel, as rising concerns over supply glut, dented the demand for the commodity. Immediate downside, the first support level is seen at $40.13 per barrel, while on the upside, the first resistance level is at $41.78 per barrel.

 

Economic Snapshot

 

UK consumer confidence registered a drop in July

The consumer confidence in the UK registered a drop to -12.00 in July, compared to a reading of -1.00 in the prior month. Market expectation was for the consumer confidence to fall to -8.00.

 

Eurozone GDP advanced as expected in 2Q 2016

The seasonally adjusted preliminary gross domestic product (GDP) advanced 0.30% in the Eurozone on a QoQ basis in 2Q 2016, meeting market expectations. In the prior quarter, GDP had advanced 0.60%.

READ  Japanese leading economic index climbed in October

  

Eurozone unemployment rate remained flat in June

The unemployment rate remained unchanged at a level of 10.10% in June, in the Eurozone. Market anticipation was for the unemployment rate to record a steady reading.

 

German consumer price index advanced more than expected in July

On a monthly basis, the flash consumer price index advanced 0.30% in July, in Germany, more than market expectations for an advance of 0.20%. The consumer price index had advanced 0.10% in the prior month.

 

German retail sales unexpectedly slid in June

On a MoM basis, retail sales recorded an unexpected drop of 0.10% in June, in Germany, lower than market expectations for a rise of 0.10%. In the prior month, retail sales had climbed by a revised 0.70%.

 

Swiss KOF economic barometer registered an unexpected rise in July

Compared to a revised reading of 102.60 in the prior month the KOF economic barometer advanced unexpectedly to 102.70 in July, in Switzerland. Market expectation was for the KOF economic barometer to ease to a level of 101.40.

 

Bank of Japan maintained its key interest rate

The Bank of Japan held its key interest rate at -0.10%. Market expectation was for the central bank to cut its key interest rate to -0.15%.

 

Japanese unemployment rate eased unexpectedly in June

In June, unemployment rate fell unexpectedly to 3.10% in Japan, compared to a reading of 3.20% in the prior month. Markets were anticipating unemployment rate to record a steady reading.

 

Japanese national consumer price index (CPI) dropped as expected in June

On an annual basis, in June, the national consumer price index (CPI) fell 0.40% in Japan, at par with market expectations. The national consumer price index (CPI) had registered a similar fall in the previous month.

 

Japanese industrial production advanced more than expected in June

The flash industrial production in Japan recorded a rise of 1.90% on a MoM basis in June, more than market expectations for a rise of 0.50%. In the prior month, industrial production had fallen 2.60%.

 

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Jadtecnic

Richard Dambrosi (JADTECNIC) Has Been Sharing FOREX INVESTORS ANALYSIS FORECAST since 2011. Editors and Founder of InvestorsBuz.com, has a passion for Forex Social Sharing analysis and Market Trends Such as Self Driving Cars, Electric Cars, Medical Marijuana, 3d printing and Cloud computing, Refers to Readers as BUZ INVESTORS.

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