| Daily Forex Fundamentals | Written by Forex.com | Sep 24 08 12:45 GMT | | |
| It was another choppy trading session in London with overall mixed results for the buck against the majors. Euro-zone data disappointed as French business confidence slipped to a weaker than expected 92 from 97 and the German IFO dipped to 82.7 from 83.5 prior. Euro was modestly lower, shedding about -20 pips in the session to a close near the 1.4655/60 zone. The 1.47 mark proved to be decent resistance and we would look for a break above 1.4720 to be the trigger for further upside. The pound was higher on modest improvement in the monthly retail survey from the Confederation of British Industry. Reported sales, while a paltry -27, beat expectations and were a marked improvement from the -46 print the prior month. GBP/USD as such rallied roughly 25 pips in London trading, closing near the 1.8555 mark. The 1.86 level here proved a good barrier to moves higher. Fundamentally, we would still look to sell rallies in GBP/USD. Equity markets overseas were tame as Asia rose just over 1% while Europe was down a modest -0.3%. As such JPY crosses were much less volatile. USD/JPY added about 35 pips into a 106.15 close while EUR/JPY saw a similar increase into the 1.5550/60 area. Higher oil prices -- into the $109 mark -- also saw USD/CAD shed about -15 pips towards the 1.0340/45 zone. Look for added equity market volatility today to spur price action JPY crosses as Bernanke and Paulson are on tap again. Fed Chairman Bernanke will give his usual assessment of the US economy before the Joint Economic Committee at 1400GMT and then he will be joined by Treasury Secretary Paulson at 1830GMT to testify before the House Financial Services Committee on the bailout plan. Stay tuned! Upcoming Economic Data Releases (NY Session) Prior Estimate
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Wednesday, September 24, 2008
London Session Recap
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