U.S. Session Recap – May 8, 2014

  • Putin says Russia has pulled troops from Ukraine border
  • Yellen worried over labor and housing markets and gives no taper timeline
  • CA building permits down by 3% in March vs. 11.3% downtick last month and 4% uptick expected
  • US q/q non-farm productivity down by 1.7% vs. 0.9% slip expected
  • AU employment numbers on tap

Is party time over for the dollar bears? Thanks to a lack of volatility and a bit of risk appetite, the Greenback slowly trimmed its losses against its major counterparts.

EUR/USD and GBP/USD continued to slip during the early U.S. session and USD/JPY even popped up when Russia’s Putin had announced that they’ve pulled their troops from Ukraine’s border.

Unfortunately, Janet Yellen’s testimony to the Joint Economic Committee of Congress held back some of the dollar bulls. You see, Yellen not only avoided any specific date for the end of QE or a rate hike, but she also expressed concerns over the labor and housing markets.

Will volatility return to the forex markets today? Today’s a big day for the major currencies with the BOE and ECB due to release their monetary policy statements. Before that though, we’ll first see Australia’s employment numbers at 1:30 am GMT, followed by China’s trade balance figures some time in the Asian session.

Analysts are expecting weaker jobs figures for Australia and stronger ones for China, but keep your eyes peeled in case the reports exceed or miss their expectations!

See also:

London Session Recap

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