Daily Economic Roundup – May 18, 2010

What’s on the Economic Horizon

US PPI, Housing Starts and Building Permits on Deck
German Economic Sentiment to Worsen in May
UK Consumer Prices to Have Risen by 0.6% in April

United States

The US dollar traded in a mixed fashion across the board yesterday, gaining early on during the Asian trading session but reversing all of its gains once the US trading session went underway. The dollar ended the day higher against the pound and the yen, but lower versus the euro and the franc. More…

Euro Zone

The euro performed slightly better than the greenback and the commodity currencies yesterday. I know, I can’t believe it either! What gives? More…

United Kingdom

After tumbling as low as 1.4252 in intraday trading and hitting 14 month lows, the GBPUSD rallied back, erasing most of its losses for the day. The pound was able to edge back up to end the day at 1.4476. Are there any sellers left? More…

Japan

With no major data release, the yen bobbed its head to some reggae music and chilled out for the better part of yesterdays trading sessions. The USDJPY stayed within its average true range, while there weren’t any sustained moves on cross pairs. Could we see a breakout soon? More…

Canada

The USDCAD surged higher early in yesterday’s Asian session, as more euro selling helped pushed the dollar higher. Luckily for all those CAD bulls, risk appetite improved throughout the day, which allowed to the USDCAD to finish lower at 1.0337. More…

Australia

Australia doesn’t seem to be immune against the possibility of a debt contagion as Australian stocks logged in their largest drop in a year yesterday. As a result, the AUDJPY dipped to the 80.00 handle while the AUDUSD reached a low of 0.8686. More…

New Zealand

The Kiwi was unable to take flight yesterday as it crashed below the psychological 0.7000 level against the greenback. Risk aversion, spurred by the usual fears of a debt contagion, and the slide in oil prices dragged the Kiwi down. More…

Switzerland

After three consecutive days of losses, the Swissy was able to take a breather yesterday. The USDCHF kicked off the week with a strong rally and attempted to pierce through the 1.1400 handle. The move turned out to be unsustainable though, as the pair soon reversed its gains to end the US trading session at 1.1315. More…