{"id":2707,"date":"2009-06-26T16:24:40","date_gmt":"2009-06-26T21:24:40","guid":{"rendered":"http:\/\/countingpips.com\/fx\/?p=2707"},"modified":"2009-06-26T16:24:40","modified_gmt":"2009-06-26T21:24:40","slug":"fundamental-outlook-at-1400-gmt-edt-0400-june-26-2009","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/fx\/2009\/06\/26\/fundamental-outlook-at-1400-gmt-edt-0400-june-26-2009\/","title":{"rendered":"Fundamental Outlook at 1400 GMT (EDT + 0400)"},"content":{"rendered":"

By GCI Fx Research<\/span><\/p>\n

\u20ac<\/strong><\/p>\n

The euro extended recent gains vis-\u00e0-vis the U.S. dollar today as the single currency tested offers around the US$ 1.4115 level and was supported around the $1.3980 level.\u00a0 The common currency has been well-bid from the $1.3890 level during yesterday\u2019s North American session and was higher again today on China\u2019s latest call to lessen its reliance on the U.S. dollar by advocating a new supranational currency.\u00a0 Data released in the U.S. today saw May personal income rise 1.4% while May personal spending up 0.3%.\u00a0 These data suggest U.S. consumers have raised their marginal savings rate substantially, to the detriment of countries like China that export heavily into the U.S.\u00a0 Despite China\u2019s latest calls for a new global currency and despite the unprecedented level of debt being sold by the U.S., recent Treasury auctions have performed very well with a high percentage of indirect bidders \u2013 suggesting China may still be recycling its massive current account surplus back into U.S. assets.\u00a0 The May PCE deflation was up 0.1% and final June University of Michigan consumer sentiment printed at 70.8, up from 68.7 in May. The improvement in consumer sentiment took confidence levels to their highest level since September.\u00a0 In eurozone news, German consumer prices were unexpectedly higher in June, up 0.4% m\/m and 0.1% y\/y.\u00a0 Bank of Italy reported the eurozone\u2019s economic contraction eased in June with the EuroCoin indicator falling to -0.61 from -0.89 in May \u2013 the fourth consecutive increase. France\u2019s finance ministry reported it expects more joblessness over the next several quarters.\u00a0 Euro bids are cited around the US$ 1.3435 level.<\/p>\n

\u00a5\/ CNY<\/strong><\/p>\n

The yen appreciated vis-\u00e0-vis the U.S. dollar today as the greenback tested bids around the \u00a595.05 level and was capped around the \u00a596.05 level.\u00a0 The pair ceded more ground today following yesterday\u2019s sell-off in the North American session.\u00a0 Data released in Japan overnight saw the May nationwide consumer price index off 0.2% m\/m and 1.1% y\/y while the June Tokyo-area consumer price index was off 0.4% m\/m and 1.5% y\/y.\u00a0 The Nikkei 225 stock index climbed 0.83% to close at \u00a59,877.39.\u00a0 U.S. dollar offers are cited around the \u00a5104.15 level.\u00a0 The euro weakened vis-\u00e0-vis the yen as the single currency tested bids around the \u00a5133.70 level and was capped the \u00a5134.95 level.\u00a0 The British pound moved higher vis-\u00e0-vis the yen as sterling tested offers around the \u00a5158.25 level while the Swiss franc moved higher vis-\u00e0-vis the yen and tested offers around the \u00a588.15 level. In Chinese news, the U.S. dollar moved higher vis-\u00e0-vis the Chinese yuan as the greenback closed at CNY 6.8360 in the over-the-counter market, up from CNY 6.8337.\u00a0 China called on the world to create a \u201csuper sovereign currency.\u201d Data released in China saw stronger-than-expected PMI data.<\/p>\n

\u20a4<\/strong><\/p>\n

The British pound appreciated sharply vis-\u00e0-vis the U.S. dollar today as cable tested offers around the US$ 1.6560 level and was supported around the $1.6365 level.\u00a0 Cable came within 60 pips this week of establishing a multi-month high dating to November 2008.\u00a0 Cable bids are cited around the US$ 1.6125 level.\u00a0 The euro moved lower vis-\u00e0-vis the British pound as the single currency tested bids around the \u20a40.8505 level and was capped around the \u20a40.8570 level.<\/p>\n

CHF<\/strong><\/p>\n

The Swiss franc appreciated vis-\u00e0-vis the U.S. dollar today as the greenback tested bids around the CHF 1.0795 level and was capped around the CHF 1.0945 level.\u00a0 Data released in Switzerland saw the June KOF leading indicator climb to -1.65 from -1.85 in May.\u00a0 U.S. dollar offers are cited around the CHF 1.1165 level.\u00a0 The euro and British pound came off vis-\u00e0-vis the Swiss franc as the crosses tested bids around the CHF 1.5210 and CHF 1.7850 levels, respectively.<\/p>\n

Daily Market Commentary<\/strong><\/em> provided by\u00a0GCI Financial Ltd<\/strong><\/a>.<\/strong><\/p>\n

GCI Financial Ltd (\u201dGCI\u201d) is a regulated securities and commodities trading firm, specializing in online Foreign Exchange (\u201dForex\u201d) brokerage. GCI executes billions of dollars per month in foreign exchange transactions alone. In addition to Forex, GCI is a primary market maker in Contracts for Difference (\u201dCFDs\u201d) on shares, indices and futures, and offers one of the fastest growing online CFD trading services. GCI has over 10,000 clients worldwide, including individual traders, institutions, and money managers. GCI provides an advanced, secure, and comprehensive online trading system. Client funds are insured and held in a separate customer account. In addition, GCI Financial Ltd maintains Net Capital in excess of minimum regulatory requirements.<\/p>\n

DISCLAIMER: GCI\u2019s Daily Market Commentary is provided for informational purposes only. The information contained in these reports is gathered from reputable news sources and is not intended to be U.S.ed as investment advice. GCI assumes no responsibility or liability from gains or losses incurred by the information herein contained.<\/p>\n","protected":false},"excerpt":{"rendered":"

By GCI Financial – The euro extended recent gains vis-\u00e0-vis the U.S. dollar today as the single currency tested offers…<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-2707","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/2707","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/comments?post=2707"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/2707\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/media?parent=2707"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/categories?post=2707"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/tags?post=2707"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}