2 May 2014
Session Recap: The currency market as 'La Valse a Mille Temps'
FXStreet (San Francisco) - I highlight recommend the Jacques Brel's song 'La Valse a Mille Temps' to understand today's market behavior and to anticipate how it will do tomorrow after 12:30 GMT with the US employment report and its worldwide famous non farm payrolls.
Jamie Coleman from FXBeat commented that he hopes "for every one's sake that payrolls miss by a mile tomorrow, in either direction," so we can get this market moving. Understandable statement as the market is performing as the first line of the French song 'La Valse a Mille Temps.'
In the song, everything starts quiet but in the course of time it becomes faster each second; until it turns into a wild 'leaf storm' of notes and words.
Overall, it was a quiet session in the currency market as investors are reluctant to take positions ahead of the action. However, action is not for sure as volatility is already at multi-year lows.
On the fundamental field, the ISM manufacturing PMI advanced to 54.9 in April; above expectations and the highest number since December; however the manufacturing PMI declined to 55.4 in April, lowest since January.
However, the concern came with a talk of a possible negative growth in the United States: "The ISM numbers were largely priced in after the Chicago PMI so the real mover was actually construction spending as the soft reading could mean negative GDP in Q1," commented Adam Button on data.
With all these, the EUR/USD and GBP/USD reached new highs and Wall Street closed a mixed day.
The EUR/USD advanced for second day to post a weekly high of 1.3890 and to close at 1.3865. The GBP/USD posted gains for fourth day with the cable peaking to 1.6920, highest since August 2009.
"Volatility RIP until the Day of Resurrection, that Day will come, it always does. But that Day is not today!" commented Brian Daingerfield and David Simmonds from RBS in their MOnthly report. Hope the day will be tomorrow.
Main headlines in the American session:
Jobless claims rise to 344,000
United States Personal Spending beat forecasts (0.6%) in March: Actual (0.9%)
US: PMI Manufacturing ticks down to 55.4 in April
US: ISM Manufacturing PMI rises more than expected in April
United States Construction Spending (MoM) came in at 0.2% disappointing expectations (0.5%) in March
Jamie Coleman from FXBeat commented that he hopes "for every one's sake that payrolls miss by a mile tomorrow, in either direction," so we can get this market moving. Understandable statement as the market is performing as the first line of the French song 'La Valse a Mille Temps.'
In the song, everything starts quiet but in the course of time it becomes faster each second; until it turns into a wild 'leaf storm' of notes and words.
Overall, it was a quiet session in the currency market as investors are reluctant to take positions ahead of the action. However, action is not for sure as volatility is already at multi-year lows.
On the fundamental field, the ISM manufacturing PMI advanced to 54.9 in April; above expectations and the highest number since December; however the manufacturing PMI declined to 55.4 in April, lowest since January.
However, the concern came with a talk of a possible negative growth in the United States: "The ISM numbers were largely priced in after the Chicago PMI so the real mover was actually construction spending as the soft reading could mean negative GDP in Q1," commented Adam Button on data.
With all these, the EUR/USD and GBP/USD reached new highs and Wall Street closed a mixed day.
The EUR/USD advanced for second day to post a weekly high of 1.3890 and to close at 1.3865. The GBP/USD posted gains for fourth day with the cable peaking to 1.6920, highest since August 2009.
"Volatility RIP until the Day of Resurrection, that Day will come, it always does. But that Day is not today!" commented Brian Daingerfield and David Simmonds from RBS in their MOnthly report. Hope the day will be tomorrow.
Main headlines in the American session:
Jobless claims rise to 344,000
United States Personal Spending beat forecasts (0.6%) in March: Actual (0.9%)
US: PMI Manufacturing ticks down to 55.4 in April
US: ISM Manufacturing PMI rises more than expected in April
United States Construction Spending (MoM) came in at 0.2% disappointing expectations (0.5%) in March