Published: 2023-12-22T18:30:54.000Z
North American Summary and Highlights 22 Dec
Senior Economist , North America
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Overview
The USD was net little changed, seeing no strong reaction to US data, which, notably core PCE prices, was on balance weaker than expected.
North American session
The USD had a slightly softer tone heading in to the US data, which saw November durable goods orders well above expectations with a rise of 5.4%, 0.5% ex transport, but a softer than expected 0.1% increase in November’s core PCE price index. The USD saw a quick spike that was rapidly reversed, leaving the USD near pre-data levels, EUR/USD a little above 1.10 and USD/JPY near 142.
USD/CAD saw the largest move, sliding to a low of 1.3219 from around 1.3275 despite an unchanged Canadian GDP outcome for October being weaker than expected.
Later US new home sales fell sharply by 12.2% to 590k but there was little market response, and the USD subsequently corrected higher. EUR/USD remained near 1.10 but USD/JPY advanced to 142.50 while USD/CAD retraced most of its losses as gains in the oil price faded.