North American Summary and Highlights 26 June

North American session

With UST yields rising the USD was mostly stronger in North America. USD/JPY led the way, rising to 160.75, while GBP/USD was also soft, falling to 1.2620. EUR/USD was more stable near 1.0675. USD/CAD saw modest gains above 1.37 while AUD/USD was more stable near 0.6650.

There was not much news. May US new home sales were slightly weaker than expected at 619k but Apr saw a substantial upward revision to 698k from 634k. 

European morning session

The USD traded generally firmer through the European morning, rising around 0.15% across the board. While USD gains were similar across currencies, the USD/JPY gains were most significant, as we saw a print above 160 for the first time since the round of intervention on April 29. The precise high on April 29 is unclear, but it was the highest since April 1990, and a break above 160.35 would be the highest since December 1986. Of course, in real terms USD/JPY is already at all-time highs. 

EUR/USD dropped a little below 1.0690, and the CHF was the weakest currency on the morning, with USD/CHF gaining 25 pips to 0.8975. There was little data of note. The German Gfk July consumer climate index was a little weaker than expected, but is still consistent with a broad uptrend this year.