North American Summary and Highlights 8 October
Overview - In a quiet day a weaker CHF was the main move. JPY also lost a little ground after some early gains.
North American session
In a quiet session the USD made marginal gains, guided most by UST yields, USD/JPY rising to 148.35 from 148. USD gains versus GBP and EUR were even more marginal. EUR/CHF extended European gains to .8415. USD/CAD moved above 1.3650 but AUD/USD was stable, seeing AUD/CAD back above .92.
August’s US trade deficit of $70.4bn was down from $78.9bn in July but in line with consensus, with the average of July and August data showing little change from Q2.
European morning session
FX markets were quiet through the European morning. The only move of note was in the CHF, with EUR/CHF gaining around 25 pips to 0.9405, helped by modest equity market gains through the morning after a soft start after the declines in Chinese equities overnight. Otherwise, EUR/GBP did see some gains mid-session, but these had largely disappeared by the end of the morning. USD/JPY was also lower mid-session, hitting 147.40 at one point, but recovered back to opening level near 148 by the end of the morning.
Swedish September CPI data came in in line with consensus at 0.2% m/m, while German industrial production rise more than expected at 2.9% m/m in August, but neither had any market impact.