USD Trading Outlook
U.S. Dollar Trading (USD) the USD enjoyed gains overnight against all currencies except the other safe haven the Japanese Yen. The buying started in Europe after weak Spanish bond auctions saw traders sell the EUR/USD and accelerated in the US session as stock losses mounted up. March ADP employment saw +209k vs. +230k previously. March ISM services fell to 56 vs. 57.3 previously. Looking ahead, Weekly Jobless Claims forecast at 355k vs. 349k previously.
U.S. Dollar Trading (USD) the USD gained heavily overnight after the release of the February FOMC Meeting minutes pointed to more members moving away from the QE3 support. A strong March Nonfarm Payrolls this Friday would help confirm this and add to the USD strength. Gold showed the biggest reaction with a big part of the bullish outlook related to continued QE from the US central bank this year. Looking ahead, March ISM Services forecast at 57 vs. 57.3 previously.
U.S. Dollar Trading (USD) the USD was under pressure overnight as risk appetite picked up after stronger than expected manufacturing surveys out of China and the US. US ISM Manufacturing rose to 53.4 vs. 52.4 previously. US construction data was weaker than expected falling -1.1% vs. 0.6% forecast. Looking ahead, FOMC Minutes from the March Meeting.
U.S. Dollar Trading (USD) the USD gained heavily Friday with the 10yr US Treasury yields moving higher showing market expectations interest rates will increase faster than the Fed is currently indicating. US economic data was mixed with increases to February Personal spending countered by a drop in March Chicago PMI. A massive week of data is ahead with both US Nonfarm Payrolls and ECB interest rate meetings potential game changers. Looking ahead, March PMI Manufacturing forecast at 53 vs. 52.4 previously.
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