Daily Economic Roundup – January 25, 2011

What’s on the Economic Horizon

U.S. Consumer Confidence on the Rise?
Canada CPI on Deck
U.K. 4Q Seen at 0.5%

United States

With no fundamental data releases to support it, the dollar took some hits in the forex arena yesterday. EUR/USD continued its recent up rise, as it gained another 34 pips to close at 1.3645. Meanwhile, GBP/USD remained stuck in consolidation, trading within a range of 90 pips and closing just 14 pips higher to end at 1.6000. More…

Euro zone

Mixed reviews? No problem! The euro was able to extend its gains against the dollar for another day even though economic data released yesterday weren’t completely optimistic. EUR/USD surged 34 pips higher to close at 1.3645, forging a new two-month high. More…

United Kingdom

Hang in there, bro! Despite the lack of reports from the U.K. yesterday, the pound was able to cap the day with mixed results against its major counterparts. GBP/USD inched up by 14 pips to 1.6000, but EUR/GBP rose to .8529 and GBP/JPY slipped to 131.98. More…

Japan

Despite the lack of economic reports from Japan, the yen’s price action was as mixed as the shirt colors of the crowd in the Green Bay Packers-Chicago Bears match. The yen lost a few pips to the euro, but gained 18 pips on the scrilla and 17 pips on the pound. More…

Canada

Up, down, up, down! When will investors make up their minds about the Loonie? With no economic data to work with yesterday, it just bounced around, eventually ending lower against the USD as USD/CAD closed 10 pips higher for the day at .9945. More…

Australia

Thanks to a nice wave of risk appetite, the Aussie surfed up the charts all over the dollar! This led to a gain of more than 90 pips for the pair, allowing it to close at .9985. However, the CPI report was released earlier this morning. Could this set the tone for Aussie trading for the rest of the day? More…

New Zealand

Weeee!!! Risk appetite in markets pulled the Kiwi along the comdolls’ ride up the charts despite the lack of economic reports in New Zealand. NZD/USD climbed by 47 pips after dropping to an intraday low of .7567. More…

Switzerland

With no data from either side of the equation, bullish momentum carried the Swissy higher against its American counterpart. The broad dollar selloff saw USD/CHF continue its downtrend, falling another 103 pips to close at .9488. More…

4 comments

  1. Pip DiddyPipDiddy

    A falling CPI means that inflation is slowing down. It’s USUALLY considered bearish for a currency because it also causes the central bank to keep interest rates low.

    Reply
  2. Pip DiddyPipDiddy

    A falling CPI means that inflation is slowing down. It’s USUALLY considered bearish for a currency because it also causes the central bank to keep interest rates low.

    Reply

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