Forex news for European morning trading on July 28 2017
News:
- "Skinny" Obamacare repeal bill fails to get Senate approval
- UK's Hammond says 3 year Brexit transition period needed at most
- Swiss franc tumbling again
- AUDUSD retreat continues to finally break down through 0.7950
- RBA to keep cash rate on hold at August meeting
- Russian central bank keeps key rate at 9.0%
- Nikkei 225 closes down -0.6% at 19,959.84
- ForexLive Asia FX news wrap: CHF lower in Asia
Data:
- Germany July CPI flash mm +0.4% vs +0.2% exp
- France UK CPI flash mm -0.3% vs -0.4% exp
- France Q2 GDP advance reading QQ 0.5% as expected
- Eurozone July economic confidence 111.2 vs 110.80 exp
- Spain July HICP YY 1.7% vs 1.5% expected
- North Rhine Westphalia July CPI mm +0.4% vs +0.1% prev
- Brandenburg July CPI mm +0.4% vs +0.2% prev
- Saxony July CPI mm 0.3% vs 0.2% prev
- Switzerland KOF leading indicator July 106.8 vs 106.00 exp
With focus on US Q2 GDP at 12.30 GMT and a busy week drawing to a close this was always going to be a scrappy session and so it's proved but not one without good opportunities.
German inflation data was the keenly awaited too this morning and with better than previous regionals confirmed by the national reading led to EUR demand along with some EURGBP month-end buying thrown into the mix.
But it was EURCHF that was once again the standout performer and after another spike, this time in Asia, we saw another rapid rally in Europe from lows of 1.1305 to post 1.1380, creating new highs not seen since the SNB pulled plug in January 2015. The pair is now on course to post the largest monthly gains since 2011
EURCHF
USDCHF also rallied to post 0.9727 from 0.9660 in another joint effort .
USDJPY has once again found support below 111.00 now option related too but offers above 111.30 still helping to cap.
GBPUSD was capped by EURGBP demand but still managed a test of 1.3100 from 1.3070 only to fail and retreat into 1.3080 as EURGBP bounced again to 0.8960.
European equities started of with losses and then extended those further with the DAX leading the way down over 1% to lows of 12098.57
USDCAD has traded tightly again albeit at higher levels with oil also extending recent gains before running into fresh sellers while AUDUSD has finally broken down through 0.7950 to post 0.7938 after failing to get back above 0.8000.
US and Canadian GDP data now the focus at 12.30 GMT.
