- BOC decides on “neutral” rate outlook
- BOC cuts Q3 2014 growth estimates
- CA manufacturing sales: 1.6% vs. 1.0% expected and -0.2% previous
- US PPI: 0.4% vs. 0.2% expected and -0.2% previous
- US Beige Book shows improvements on manufacturing and consumer sentiment
- US NAHB housing market index prints at 53.0 vs. 50.0 expected and 49.0 previous
- US industrial production: 0.2% vs. 0.2% expected and -0.1% previous
Talk about intraday reversals! Thanks to mostly lower tier economic reports, market players mostly traded on risk sentiment. The risk-off vibe from the London session stalled around the U.S. trading session open but soon regained support a couple of hours later.
EUR/USD jumped to a session high of 1.3541 two hours into the U.S. forex trading session but soon ended the day back at 1.3524. Ditto for GBP/USD, which rose 20 pips to 1.7143 before capping the day at 1.7137.
One of the biggest movers throughout the session was the Loonie, which remained resilient despite a slightly dovish statement from the Bank of Canada (BOC). The central bank downplayed the upticks in inflation, saying that it’s mostly influenced by temporary factors such as high oil prices. It also talked about Canada’s other reports and how they have inspired “serial disappointments” in failing to show sustained improvements.
Still, USD/CAD popped to an intraday high of 1.0795 at the BOC’s initial statements but soon fell back to 1.0746 when traders realized that the BOC isn’t planning on raising or cutting rates anytime soon. CAD/JPY also ended the day 10 pips higher than its session open price after a dip to 94.24 while EUR/CAD dropped 35 pips to 1.4533.
Let’s see if we’ll get more comdoll movement from today’s Asian session reports. The only ones scheduled today are Australia’s CB leading index out a few minutes ago and the Land Down Under’s NAB quarterly business confidence numbers at 1:30 am GMT. These reports don’t usually affect the comdolls for long, so you might want to keep your eyes glued to the tube in case we see market-moving reports from Japan, China, and other major Asian markets.
Bonnie and Clyde, peanut butter and jelly, Justin Bieber and his hair. Some things just go well together.
Head on to Big Pippin’s Daily Chart Art for some pip-locking technical setups!