June 24: Asian session
US dollar strengthened versus its counterparts ahead of reports tomorrow that will probably show orders for durable goods grew and house prices continued to recover. The Fed Bank of Dallas President Richard Fisher will speak on monetary policy in London today.
EUR/USD opened the week with the gap down at $1.3089 after closing at $1.3124 on Friday. At the moment of writing the pair’s trading just above $1.3100. Declines in euro were tempered before the release of a German Ifo business climate data at 08:00 GMT. GBP/USD also opened lower, at $1.5371 after closing at $1.5423 on Friday.
USD/JPY opened the week with a bullish gap, breaking through the 98.00 resistance and posting highs at 98.70. Shinzo Abe’s LDP party won Tokyo elections on Sunday, what improves their prospects for July 21 election. USD/CHF remains in the ascending trend, consolidating at 0.9360.
AUD/USD is consolidating above the last week’s lows around $0.9200. Upside is capped at $0.9250 as China’s government investment bank International Capital Corporation cut China 2013 GDP forecast to 7.4%. Goldman Sachs has also cut China GDP forecasts for 2013 and 2014. NZD/USD opened the week with gap down below $0.7700 and recovered to $0.7770. USD/CAD opened with a gap up and almost reached $1.0500.