As NA traders arrive for the day, the USD is the strongest and the CAD is the weakest.
As North American traders arrive for the day, the USD is the strongest and the CAD is the weakest. As traders pause ahead of the Jackson Hole virtual summit on Friday, the major currencies are reasonably squeezed together from high to low. However, the Durable goods will be issued today at the bottom of the hour. The forecast is for a -0.3% drop compared to a 0.9 % drop last month. The core is predicted to grow 0.5 % , matching the gain seen in June. At 10:30 a.m. ET, crude oil inventories will be revealed. Private data revealed a -1.9M draw in oil and a -1.0M draw in gasoline stocks. Following a successful auction of two-year notes yesterday, the US Treasury will auction $61 billion in five-year notes.
The ranges and variations show the restricted nature of the currency markets. The USDCAD has the widest trading range, at 45 pips (trades near highs for the day). The rest of the majors have trading ranges of 37 pips or less. So far, the EURUSD range is barely 27 pips. There is considerable concern.
Looking at other markets:
- Spot gold is trading down $9.18 or -0.51% at $1792.90.
- Spot silver is down eight cents or -0.4% at $23.72
- WTI crude oil futures are trading up $0.34 at $67.95
- Bitcoin is trading near unchanged at $47,655
In the premarket for US stocks, the major indices are little changed:
- Dow futures are implying a eight point gain. Yesterday the index rose 30.53 points
- NASDAQ index is up two points after yesterday’s 77 point rise. The close was a record yesterday
- S&P futures are implying an unchanged open. Yesterday the index closed at a record level with a gain of 6.68 points
In the European equity markets, the major indices are mixed:
- German DAX, -0.15%
- France’s CAC, +0.2%
- UK’s FTSE 100, +0.2%
- Spain’s Ibex, +0.3%
- Italy’s FTSE MIB, unchanged