Forex news for North American trade on September 14, 2018:
- Gold down $7 to $1194
- WTI crude up 35-cents to $68.93
- US 10-year yields up 2.4 bps to 2.99%
- S&P 500 flat at 2904
- USD leads, AUD lags
It was a full day of headlines on Friday with the main one a report that Trump has told his cabinet yesterday he wants to impose China tariffs. That took USD/JPY off the high of 112.17 and back down to 111.90 but it was stubbornly strong again and back flirting with 112.00.
EUR/USD was a bigger mover on the day, in part due to a report saying some members of the ECB wanted to emphasize downside risks. Yesterday’s rally was completely wiped out in a 60 pip fall to 1.1627.
USD/CAD was hurt by the continued blowout in Canadian oil differentials and more chatter about a deadlock at NAFTA talks. The CBC said Canada’s prepared to miss the end-of-month US deadline and see what happens.
AUD/USD was on its backfoot on reports of China tariffs and is slated to finish near the lows and down 40 pips to 0.7155. That takes the shine off a nice two-day bounce from 0.7085.
Cable news from Raab and Barnier wasn’t a big surprise and didn’t have much of an effect. Cable was caught in a broad US dollar bid that was built on solid data and talk about the Fed hiking beyond long-term neutral next year.
Have a great weekend.