Source: ForexYard
The dollar hit a fresh one-month high against the JPY last night, as investor confidence in the US economic recovery remained high following strong US retail sales reports earlier in the week. Crude oil also came within reach of a three-month high last night, after a US inventory report yesterday came in below expectations, signaling to investors that demand in the world’s largest oil consuming country is increasing. After peaking at $94.58 a barrel during Asian trading, oil fell slightly and is now trading just above the $94 level.
Main News for Today
US Building Permits- 12:30 GMT
• Analysts are forecasting a slight increase over last month’s figure
• If true, the dollar could extend yesterday’s gains against the yen
US Unemployment Claims- 12:30 GMT
• The Unemployment Claims figure is forecasted to come in at 365K, slightly higher than last week
• If the figure comes in above 365K, investors may revert to safe-haven assets which could cause the USD/JPY to reverse its current bullish trend
US Philly Fed Manufacturing Index- 14:00 GMT
• Analysts are predicting today’s figure to come in at -4.7, which would signal worsening conditions in the US manufacturing sector
• If the figure comes in above -4.7, investor confidence in the US economy could go up, which may lead to dollar gains during the afternoon session
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