HiFX Morning Update, July 28 2017
The NZDUSD opens at 0.7489 (mid-rate) this morning.
The NZDUSD has traded a 1.8% or 132 point range in the past 24 hours but has slipped 60 odd points from the highs to
open under 0.7500 this morning
The USD was sold heavily in the wake of the FOMC statement as the market has ruled out a September rate hike and there
is now a 50% possibility that the Fed may hike in December.
U.S. Initial jobless claims in the period running from July 16 to July 22 increased by 10,000 to a seasonally adjusted
244,000. The number of Americans who applied for unemployment benefits rose in late July but remained near the lowest
level in decades, mirroring a red-hot labour market that shows little sign of cooling.
Core Durable goods were 0.2% up in June compared with May but that was short of the 0.4% increase expected. Durable
Goods Orders were up 6.5% better than the 3.5% market expectation. The U.S. economy is experiencing steady but slower
growth in business investment as orders for capital equipment eased last month following a May increase that was bigger
than previously reported.
Overnight data releases tonight include US Advance GDP, Canadian GDP, University of Michigan U.S. revised Consumer
Sentiment and Inflation Expectations, and FOMC Member Kashkari speaks at a Town hall event in Minnesota
Global equity markets are mixed - Dow +0.18%, S 500 -0.33%, FTSE -0.12%, DAX -0.76%, CAC -0.06%, Nikkei +0.15%, Shanghai +0.06%.
Gold prices continued higher, up $6 or 0.5% trading at $1,260 an ounce .WTI Crude Oil prices are up 0.8% at $49.01 a
barrel.
ends