FX Highlights

  • USD is trading at a new low for the year pressured by improving risk appetite and hope the global recession is nearing an end, crude prices rise above $71 a barrel, UK manufacturing PMI rises above 50 and HSBC and Barclays earnings beat forecasts, GBP rallies to a nine-month high, focus turns to today's release of US construction spending, ISM index and domestic auto sales
  • Ex. Fed Chairman Greenspan says the economic crisis is nearing a trough
  • PIMCO McCulley says the Fed will not raise rates until 2011
  • JPY trades lower pressured by improving risk appetite
  • China's July manufacturing PMI rises to 53.3 from 53.2 in June, improving Chinese economic data fuels equity market gains
  • Australia's July PMI rises 6.1 points to 44.5, highest level since last September, July total jobs ads fall 1.7%, AUD trades at 10 month high
  • UK July PMI rises to 50.8 compared to 47 last month, to rise above 50 suggests the UK economy is beginning to expand, GBP higher
  • Swiss July PMI rises to 44.3 from 41.8 last month, CHF higher
  • EU July PMI rises to 46.3 from 42.6 last month, EUR higher rises to two month high versus USD
  • New York University economist Roubini says commodity prices may rise in 2010 as the global recession recedes
  • CAD trades at 10 month high supported by rising commodity prices, copper prices trade and a 10 month high
  • Sunday Times reports that the BOE is under pressure to expand quantitative ease
  • President Obama says it will be months before US is out of recession
  • US equity markets set to open sharply higher, European equities 1.5% higher, Nikkei closed 4.36 points lower

Upcoming Events

  • US- Monday, June construction spending will be released expected at -0.5% compared to-0.9% last month, along with July ISM index expected 46 compared to 44.8 last month and July domestic auto sales
  • CAN- No economic data scheduled to release today