US session review: Dollar sets stable

Data released:

12:30 GMT Canada Wholesale Sales (MoM) (Jul) 1.5% 1.0% -3.1% 

12:30 GMT USA Current Account (Q2) $-98.89B $-97.00B $-104.90B 

12:30 GMT USA Initial Jobless Claims (Sep 13) 309K 330K 294K 

12:30 GMT USA Continuing Jobless Claims (Sep 6) 2.787M 2.900M 2.815M 

14:00 GMT USA CB Leading Indicator (MoM) (Aug) 0.7% 0.6% 0.5% 

14:00 GMT USA Existing Home Sales Change (MoM) (Aug) 1.7% -2.6% 6.5% 

14:00 GMT USA Existing Home Sales (MoM) (Aug) 5.48M 5.25M 5.39M 

14:00 GMT USA Philadelphia Fed Manufacturing Survey (Sep) 22.3 10.0 9.3 

The dollar set stable in NY. 

The latest bout of U.S. economic data came in mostly upbeat.

The Philadelphia Fed’s manufacturing index jumped to a reading of 22.4 in September — the highest reading since March 2011.

Leading indicators climbed 0.7% in August while the number of people applying for new unemployment benefits climbed by 15,000 in the week ended Sept. 14 to 309,000. Economists forecast a climb to 338,000.

EURO

The euro continued to move higher, although the pace of the advance has tempered over the last hours as investors continue to assess latest developments. Even though EUR/USD set a fresh 7-month high of 1.3568 during the European session, some consolidation, and even correction, seems only natural after the sharp rally.

EUR/USD back to $1.3540. Strong resistance comes at $1.3600 (Feb 5 and 6 highs) with the stronger resistance is near yearly high on $1.3712. Initial support comes at $1.3350 (channel line from Sep 6). Below support is around Sep 13 lows on $1.3250.

POUND

The pound retreated after weak retail sales.

National Statistics informed on Thursday that year-over-year UK Retail Sales grew 2.1% in August, compared with the 3% increase in July and below forecasts of +3.3%.

On a monthly basis UK Retail Sales dropped 0.9% in August, after growing 1.1% in July and against expectations of increasing 0.4%.

Annual Retail Sales excluding Fuel climbed 2.3%, down from the 3.2% rise and below market consensus of 3.1% growth. 

GBP/USD retreated from session highs on $1.6145. Above the resistance comes at $1.6180. Initial support is around $1.5960 and $1.5900/$1.5890 (channel line from Sep 6) and $1.5780 (Friday’s lows).

YEN

BOJ’s Kuroda said today the BOJ policy clearly having a positive impact on economy and CPI shows broad improvement in price trend. He also noted Japan’s economy can continue moderate recovery and the BOJ will continue QE as long as deemed necessary for price stability. Kuroda added Japan is starting to find its way out of 15 years of deflation.

USD/JPY fell as low as Y97.80 (earlier broken resistance line from Jul 7) before corrected back to Y98.80. Initial resistance comes at Y98.60 (channel line from Aug 27 broken Wednesday) and Y100.00 (Friday’s highs) and Y100.60 (Sep 11 highs). Below Y97.80 support comes at Y97.40 (trend line from Jun 13) and Y96.80 (Aug 27 lows). 

DATA PREVIEW:

There is no key economic data for today.

Source of information>>

More information>>