The USD mirrored the broad marketplace in the States on Tuesday turning in a mixed performance. The USD traded in a stable manner against the EUR but continued to lose ground to the Sterling. Economic data proved much the same yesterday, as the CB Consumer Confidence reading missed its estimate and turned in a number of 50.4 compared to the anticipated mark of 51.3. The S&P/CS Composite 20 HPI however did beat expectations with a result of 4.6%, beating the forecasted gain of 3.9. Quarterly earnings continued from the U.S. yesterday and while the Dow Jones climbed the S&P and the Nasdaq both declined. Today Core Durable Goods statistics are on the calendar and a slight gain of 0.6% is being looked for. Crude Oil Inventories and the Fed’s Beige Book report will also be published. Tomorrow will be a light day of data, but the week will close on an important note with the Advance GDP figures on Friday.
While risk appetite has shown that it is able to withstand the slings and arrows of ‘bears’, yesterday’s trading shows that the broad markets continue to be tentative. Questions sill pervade the American economy regarding debt, unemployment, and a weak housing sector. Tuesday’s CB Consumer Confidence reading highlights that concerns are still rampant and that spending is still probably going to be reigned in for a while yet. The short term may be producing gains and exhibiting signs of positive speculation, but with so many important issues still confronting the economy in the States and its major counterparts it would be wise for traders to remain attentive. More corporate reports will come from Wall Street today, but the climax in trading this week may come with the Advance GDP numbers of Friday.
Written by bforex.com
