Daily Economic Roundup – August 5, 2009

USD

The USD took a nice and quiet pause from Monday’s risk run yesterday as most major USD pairs consolidated in a tight range. Just to give you a quick look, the EURUSD pair drifted up and down a small 55 pip range while the usual volatility of the GBPUSD was reduced to a relatively tight 110 pip range. More…

Euro zone

The EUR took a breather as it closed on the short side of USD and JPY in yesterday’s trading after climbing sharply for three days. The EUR/JPY and the EUR/USD pairs are currently encountering some resistances at their respective previous month’s high. Will the EUR be able to find a can of spinach and move forward or will it wilt? More…

Japan

The Yen started the day charged with enough energy to recover some of its previous losses. Demand for higher-yielding currencies gained the upper hand in the end as US economic reports pumped up risk appetite. More…

United Kingdom

Price movement in the GBP pairs took a breather after the Cable’s 590-pip dash in the past few days. Despite the notable improvements in construction PMI and Nationwide consumer confidence index, consolidation was the theme for GBP pairs yesterday. More…

Canada

CAD buyers finally took a break yesterday, as the CAD gave back much of its gains against the USD yesterday. The CAD lost as crude oil prices fell slightly to $70.90 per barrel, after testing the $71.50 price level. Nevertheless, price action didn’t break through support turned resistance at 1.0750, so it may have been temporary pullback. More…

Australia

Make it three in a row! Yesterday marked the third consecutive day that the AUD set a new yearly high, as the AUDUSD hit .8470 early in the Asian trading session before closing the day at .8442. With risk tolerance in full gear, can the AUD extend its run for a fourth consecutive day? More…

New Zealand

The sun shone over New Zealand as the Kiwi managed to inch further against the USD and JPY in yesterday’s action. The NZD/USD and NZD/JPY pairs were also able to close above the previous month’s high. Such extends the possibility of the Kiwi moving higher. More…

Switzerland

Consolidation was the name of the game yesterday as the CHF just ping-ponged in a tight 70 pip range against the USD. Is the USDCHF setting the stage for round of risk-taking or have sellers finally run out of steam? More…

Pipnoculars: What’s on the Economic Horizon

Economic Calendar Packed; Volatility to Return in Full Swing
GBP: Manufacturing and Services data up ahead
EUR: Surprise downside on Euro zone’s retail sales?