The USD is the weakest
The UK is on "Summer Bank Holiday". It is sunny and 26C. I hope all are outside enjoying the day. That sunshine has had a positive effect on the GBP. It is the strongest currency on the day. Meanwhile, the USD is the weakest currency as the North American traders enter for the day. Just to let everyone know, the US and Canada will have their equivalent of the "Summer Bank Holiday" next week when they celebrate "Labo(u)r Day" by not working.
Although the snapshot of the winners and losers show a clear strongest and weakest, the variance of the major pairs are very close. In other words the table can turn quickly.
Looking at the changes and ranges, the GBP pairs have the most volatility, the GBPUSD has a 72 pip range. The GBPJPY is higher after an up, down and back up day. The EURGBP is heading lower today (down -20 pips).
Today, there is wholesale inventories for July at 8:30 AM ET with the expectations for +0.3% (vs +0.7% last month). The advances goods trade balance will also be released (-64.5B vs 4-64.0b last). It may be sunny in the UK, but the people along the Texas Gulf of Mexico coast are suffering after the historic rain from Hurricane Harvey (there are Weather Channel reports of up to 50 inches in some localized areas before the rain is all done). Lots of forex traders reside in Texas and my thoughts and prayers are with you all, as well as all the people of the great state of Texas as you continue to deal with the torrential rains and then the recovery.
The snapshot of other markets is showing:
- Spot gold up $6.29 to $1297.66. The high has reached $1299.43 and backed off on the look at the $1300 level.
- WTI crude oil is down -$0.40 or-0.81% to $47.49
- US stock futures are showing modest gains. S&P is up 3.75 points. Nasdaq is up 9 points. Dow futures are up 22 points
- US yields are little changed. 2 year 1.329%, unchanged. 5 year 1.760%, unchanged. 10 year 2.174%, up 0.8 bp. 30 year 2.7607%, up 1.4 bp
