Today the EUR/USD pair has shown weakness and is currently down at the 1.4390 level. This morning cable has shown weakness and has currently dropped to the 1.5960 level at the time of writing. U.S. housing starts likely to stabilise, to cease to be drag on GDP. U.S. labour market improving, close to time when employment rate will start falling. Inflation risk for U.S. is not next year, more a 2-5 year horizon. Today, the JPY/USD pair has shown strength and is currently up from its open at the 92.66 level. New Japanese Finance Minister Kan gave a press conference at 06:30 GMT and stated the following: Japan fiscal reform basically depends on boosting demand. Japan should review budget in view of the fact cash reserves in special accounts are limited. Japan must work with BOJ to bring yen to appropriate levels. Japan has barely won market confidence by keeping to 2010/11 new JGB issuance target.
Due for release today is the GBP Halifax HPI m/m, GBP Asset Purchase Facility, MPC Rate Statement, Official Bank Rate, USD Unemployment Claims and CAD Ivey PMI.
By Ultimate Forex Profits
