– Market optimism fades and suggests more USD strength – Widespread calls for a break lower in Eur/Usd – Key economic data and political risk ahead – Focus for now on monthly US employment data Although we have seen no clear breakouts in most of the major currencies, and although the Euro still remains locked in a very well defined 1.3000-1.3500 consolidation (that has defined trade for much of 2012),
Non-Farm Payrolls rise less than expected.
U.S. Service Sector shows
THE TAKEAWAY: PPI numbers come in lower than expected -> high energy prices continue to affect producers -> Euro trades within tight range Producer price inflation in the 17-nation Eurozone increased less than expected in March, representing the sixth consecutive monthly drop in the gauge. The month-on-month number came in at 0.6% vs. the 0.5% predicted by economists, while the yearly number was 3.3% versus the expected 3.4%. The numbers
ECB’s Draghi:
Labor Department Weekly Release out – are they forecasting the Friday’s Non-Farm Payroll release?
The NZDUSD (Kiwi Dollar) currency pair is one riddled with uncertainty. It has spent the better part of 2012 heading higher from its January low at .7708. After moving as much as 677 pips to our standing high at .8385, the pair has faltered failing to advance further to challenge the pairs all time high at .8841.
Daily Winners and Losers The Japanese yen is the top performer against a stronger dollar at the close of European trade with loss of just 0.11% on the session. The greenback has continued to outperform all its major counterparts as markets remain on the defensive after a weaker than expected ADP employment report showed the addition of just 119K private sector jobs in April, missing consensus estimates for a print
Payrolls processor Automatic Data Processing says private-sector jobs
Louis Dreyfus Commodities LLC to buy Imperial Sugar Co (IPSU, quote). Imperial Sugar has agreed to be purchased by company Louis Dreyfus Commodities LLC via an all cash agreement that values the sugar refiner roughly at $78 million.
