London Session Recap – May 26, 2014

  • U.K. markets closed for Spring Bank holiday
  • European Gfk Consumer Confidence Survey inline with forecast & previous at 8.5

Most of the little action we saw came mostly from the New Zealand Dollar as the weaker-than-expected Trade Balance data continued to provide some volatility.  It wasn’t much action to speak of as most of the NZD pairs stayed within a 0.10% trading range, with European traders fading the Asia session Kiwi weakness to bring the New Zealand Dollar back to week open levels:

NZD/USD is up 8 pips (+0.10%) to .8545, NZD/JPY is up 5 pips (+0.05%) to 87.07, and AUD/NZD is up 21 pips (+0.19%) to 1.0808

We also got a speech from ECB President Mario Draghi at the ECB Forum in Sintra, Portugual.  He signaled that the ECB is ready to take action, but must be very careful with timing because of falling inflation expectations.  The euro rallied slightly ahead of the event before leveling off to its current levels:

EUR/USD is up 12 pips (+0.09%) to 1.3640, EUR/JPY is up 10 pips (+0.07%) to 138.98, and EUR/GBP is up 8 pips (+0.10%) to .8098.

The first afternoon London/morning U.S. session of the week is most likely gonna be a snoozer as the U.S. markets are closed for the Memorial Day holiday. Expect tight range trading unless we get a surprise new catalyst.  Stay frosty!

See also:

Asian Session Recap

U.S. Session Recap

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