Halister News

(Bloomberg) -- USD gains vs most currencies as hawkish comments from FOMC officials spur speculation of U.S. rate increase as soon as next quarter, with focus turning to minutes of FOMC meeting today.

• Oil holds near 7-mo. high as U.S. industry data shows crude stockpiles declined, trimming a glut
• EUR/USD drops as much as 0.5% to 1.1256, lowest since April 26
  • EUR/USD 1-wk 25d risk reversal drops to -0.42 vol, the most bearish sentiment since March 10
  • April FOMC minutes may open door to a hike before the end of the summer, but not point to June explicitly, Citigroup says
  • SEB Investment Management is avoiding U.S. stock markets and dramatically cutting its risk allocation as prospect of Fed rate increases; tactically slightly long USD
• GBP/USD drops as much as -0.41% to 1.4404
• Supports at 1.4398, May 17 low, 1.4342-33, 100-DMA, May 16 low
  • U.K. jobs market showed signs of cooling in 1Q with employment growth slowing, jobless rate remaining at 5.1%
  • Haldane speaks at 8pm BST at the New City Agenda Annual Dinner in London
• EUR/GBP little changed at 0.7824, breaking below Ichimoku cloud today for 1st time this year; resistance 0.7842/46, support 0.7801
• BBDXY +0.48% at 1,192.23
• USD/JPY +0.22% to 109.38 vs range 108.72-109.61
  • 1Q GDP rose 1.7% annualized SA q/q vs median est. of +0.3%
  • Japan 1Q GDP may be cut after surprising most in 3 yrs, analysis shows
  • Elephant in the room at this week’s G-7 is sure to be the yen
• AUD among worst performers within G10 basket
  • Australian wage growth slowed in 1Q, with wage price index at record low +0.4% q/q vs +0.5% in 4Q
• EMFX lower against USD; ZAR worst performer as Finance Minister Pravin Gordhan’s statement on arrest rumors heightens political risk