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Session Recap: USD advances further and closes the week with as the king

FXstreet.com (San Francisco) - The Greenback extended on Friday its weekly gains as investors were digesting Fed words on QE tapering. Against its major competitors the USD was the winner the last day of the week, except the Aussie, which AUD/USD seems to have found floor.

The EUR/USD fell to test the 1.3100 level as lowest since June 6th, the pair declined 300 pips after Wednesday Fed's meeting and currently it's closing around 1.3120. Perspective remains bearish in all timeframes and as FXstreet.com's analyst Mauricio Carrillo wrote in his Twitter account: "Only 2 banks and 2 traders aren't bearish in EUR/USD for next week," referencing to the FXstreet.com Forecast Poll table.

The GBP/USD touched levels below the 1.5400 area at 1.5365 but the pair managed to recover ground and it closed at 1.5415. The USD/JPY advanced further but the pair was unable to conquer the 98.00 level.

The USD/CAD did another jump to trade at levels not seen since November 2011 at 1.0485, this time fueled by the inflation number and the weaker than expected retail sales data. The AUD/USD stopped the bloody at 0.9160 after collapsing 500 pips since June 14th. Now the pair is trading at 0.9215.

Main headlines in the American session:

Canada: Annual CPI rises 0.7% in May

Canada: Retail Sales rise less than expected in April

Greek government shaken by coalition partner pullout

If the Fed is right, it’s the start of an endless summer for the dollar

Fitch affirms Norway at AAA, outlook stable

Wall Street closes mixed after 2-day sell off but down on the week

Wall Street closes mixed after 2-day sell off but down on the week

The US stocks market has closed Friday with a mix in between red and green numbers as investors recovered some risk appetite after 2 days of sell off. On the week, the major indexes closed sharply lower as market is afraid the fed will start tapering its QE as soon as this year.
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