Session Recap: The pound in the spotlight; choppy EUR/USD

FXStreet (San Francisco) - The Sterling traded higher against its major competitors on Thursday as the BoE Financial Stability Report and BoE Carney's comments on new measures to contain housing prices fueled the appetite for the pound.

The BOE tightened mortgage requirements. "The move is a bit odd as using macro-prudential tools to cool the housing market educes the risk that he UK will push up rates soon, one would think," commented Jamie Coleman from FXBeat. "Carney continues to espouse gradual, limited rate hikes when the time comes."

On the EUR/USD deck, MNI reported that the ECB would be thinking to go even more negative in its deposit rates. The pair performed its first negative day in the last four.

Currently, EUR/USD is trading at 1.3611, down 0.13% on the day, having posted a daily high at 1.3642 and low at 1.3575. The FXStreet OB/OS Index is reflecting neutral hourly conditions, while the FXStreet Trend Index is slightly bearish.

Main headlines in the American session

Initial jobless claims 312K vs 310K expected

United States Personal Income (MoM) meets expectations (0.4%) in May

United States Personal Spending below expectations (0.4%) in May: Actual (0.2%)

US: PCE (May) rose 1.8% YoY

Bullard says Fed in much better place to monitor markets

Fed's Bullard expects US inflation to exceed 2% in 2015

Wall Street declines again after the Wednesday pause

NZD/USD keeps flying to print fresh 3-year high

FXStreet (Bali) - NZD/USD just shot up to post its highest level since July 31, 2011, after reaching a new peak of 0.8787 in thin market conditions.Stops reported above this year's high at 0.8770/75 were taken out, causing a cascade of buy stop orders to get triggered, allowing the rate to extend its firm bullish momentum since Wed's awful US Q1 GDP, a major positive input in the pair as the perception in monetary policy divergences between the RBNZ and the Fed widens further.Technically, the breakout set the stage for a new upside objetive of 0.8845, 2011 high, followed by 0.89 round number, with the 0.90 no longer an illusion should NZ data continue to support the Kiwi. The next risk even is at 6.45 GMT with the New Zealand current account, which should see further volatility in the pair ahead of Tokyo.
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AUD/NZD falls to 7-week lows, eyes 1.0700

The Kiwi strengthened across the board after Wall Street closing bell and pushed the AUD/NZD to fresh 7-week lows.
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