U.S. Session Recap – June 20, 2014

  • US initial jobless claims 312K vs. 313K expected and 318K previous
  • US leading indicators 0.5% in May vs. 0.6% expected
  • US Philly Fed index clocks in at 17.8 in June vs. 14 expected and 15.4 previous

The dollar’s performance was a mixed bag of beans during the U.S. forex trading session as traders priced in their disappointment over the Fed’s underwhelming statement, a bit of risk aversion in the markets, and a few better-than-expected U.S. data.

EUR/USD tried to reach new weekly highs but encountered resistance at the 1.3650 area. It eventually closed 15 pips lower than its session open price. USD/JPY also started the session with a 15-pip drop to the 101.80 area but eventually ended the day back at the 102.00 psychological handle.

The pound continued to dominate the forex arena despite a slightly lower-than-expected retail sales report. Analysts believe that a bit of weakness is due after such a strong run and weren’t too concerned over the 0.5% monthly drop in consumer spending.

GBP/USD broke above 1.7000 and reached 1.7063 before settling in with a 7-pip session gain at 1.7036. Meanwhile, GBP/JPY steadily crawled 25 pips higher to 173.71.

Not even the comdolls were safe from a bit of risk aversion during the trading session. Gold and crude oil prices might have edged higher, but AUD/USD still ended the session with a 10-pip slip to .9396 while USD/CAD remained around the 1.0830 levels.

We don’t have a lot of Asian reports scheduled today save for BOJ Governor Kuroda’s speech scheduled at 6:30 am GMT. Market players aren’t expecting any bombshells from the central banker today, but keep your eyes peeled in case we see surprises!

See also:

London Session Recap

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