 Canadian Dollar weakens broadly in early US session, after data showed that consumer inflation slowed notably in March, in line with market expectations. However, Dollar has emerged as the day's worst performer, reversing some of this week's gains, even when compared to Yen. In contrast, Australian and New Zealand Dollars are performing strongly, buoyed by better-than-expected Chinese GDP and robust retail sales data. British Pound is also faring well due to encouraging job data and solid wage growth, while Euro and Swiss Franc lag behind. Following up on GBP/CAD, today's bounce is raising the chance that corrective pattern from 1.6863 has completed with three waves down to 1.6535, after drawing support from 55 D EMA (now at 1.6562). Next focus is 1.6699 minor resistance. Sustained break there will solidify this bullish case and bring further rise through 1.6863 to resume larger up trend. However, sustained break of the 55 D EMA will argue that it's already in correction to whole up trend from 1.4069, and open up deeper decline to 1.6075 support and below. In Europe, at the time of writing, FTSE is up 0.22%. DAX is up 0.73%. CAC is up 0.72%. Germany 10-year yield is down -0.0005 at 2.469. Earlier in Asia, Nikkei rose 0.51%. Hong Kong HSI dropped -0.63%. China Shanghai SSE rose 0.23%. Singapore Strait Times dropped -0.29%. Japan 10-year JGB yield dropped -0.0059 to 0.476. |
