North American Summary and Highlights 18 Jan

North American session
The USD made general gains through the North American session, helped by the lower than expected jobless claims data in the latest week. The USD advanced around 0.2% across the board, with the exception of GBP which held its own against the USD and consequently gained on the crosses. There was also some particular weakness in the SEK, with EUR/SEK gaining 3 figures, while EUR/CHF also made small gains.
The latest US data provides more evidence of strength than weakness, with initial claims at 187k from 203k the lowest since September 2022, and housing starts, -4.3% to 1460k, and permits, +1.9% to 1495k, both stronger than expected. However the Philly Fed manufacturing survey at -10.6 from -12.8 remains weak.
European morning session
There was no significant FX action in a quiet European morning session with all the main pairs within 10 pips of opening levels. Yields were marginally lower, following the softer tone to US yields overnight, and equity indices moved slightly higher through the session. 
News was thin on the ground, with no major data. Eurozone current account data for November showed a decline in the seasonally adjusted surplus to EUR24.6bn. 
The Q4 Bank of England credit conditions survey was released, and showed a significant improvement in credit conditions. Lenders reported that the availability of secured and unsecured credit to households increased in the three months to end-November 2023, and that the overall availability of credit to the corporate sector slightly increased in Q4. Availability for small businesses increased, while remaining unchanged for medium and large businesses in Q4. Overall availability was expected to slightly increase in Q1.