U.S. Session Recap – Sept. 22, 2014

  • CA August CPI flat at 0.0% vs. -0.1% expected, -0.2% previous
  • CA annualized CPI up by 2.1% as expected and previous
  • CA CPI ex auto up by 0.5% vs. 0.2% expected, -0.1% previous
  • CA wholesale sales down by 0.3% in July vs. 0.8% expected, 0.8% previous
  • US CB leading index up by 0.2% in August vs. 0.4% expected, 1.1% previous

Profit-taking was the name of the game during the US forex trading session, as traders squared their positions ahead of the weekend.

The dollar gained back some pips as the dust settled on Scotland’s referendum and overall risk appetite. Uncle Sam’s leading indicators report slightly missed market expectations, but USD/JPY still popped up by 23 pips to 108.95 while USD/CHF also climbed by 17 pips to .9404. Meanwhile, profit-taking on the pound seems to have stopped during the early London trading with GBP/USD and GBP/JPY staying in tight ranges near 1.6300 and 177.75 respectively.

It was the Aussie that bore the brunt of profit-taking from overall risk appetite. Australia didn’t release any reports on Friday, but the high-yielding Aussie lost 47 pips on the Greenback at .8930. AUD/JPY also fell by 30 pips to 97.29 while GBP/AUD popped up by 47 pips to 1.8255 and EUR/AUD rose by 52 pips to 1.4376.

The Loonie also saw some action after Canada’s inflation numbers were released. The reports mostly exceeded expectations, which likely dragged USD/CAD to an intraday low of 1.0887 and boosted CAD/JPY to 99.80. The bulls weren’t able to hustle some muscle though, because the move eventually got faded and the comdoll ended the forex trading session almost flat against its major counterparts.

Asian session traders don’t have a lot to look forward to with only New Zealand’s Westpac consumer confidence data on our forex calendar. What’s probably driving the Kiwi though, is New Zealand’s weekend elections. Right now we’re seeing upside weekend gaps across major NZD pairs after the ruling National Party was re-elected over the weekend.

See also:

London Session Recap

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