Forex Major Currencies Outlook (Apr 19, 2016)

There have been no reports out of the US economy yesterday while today has building permits and housing starts lined up.

EUR

The euro was in a weak spot despite the run in risk appetite, as it caved to comdoll and pound strength. There were no major reports released from the euro zone economy yesterday while today has the German and euro zone ZEW economic sentiment figures on tap. The former is expected to rise from 4.3 to 8.2 while the latter could climb from 10.6 to 13.9.  

GBP

The pound staged a strong rally after UK Chancellor Osborne reiterated his bias against a Brexit. He cautioned that this scenario would make it more costly for the government to provide public services and that trade and business investment might be dampened. BOE Governor Carney has a testimony lined up today. 

CHF

The franc was still stuck in tight consolidation to the dollar yesterday but it was mostly weaker to its other counterparts. There were no reports released from Switzerland yesterday and there are still no major reports lined up today. 

JPY

The yen returned its recent wins when risk-taking took place in the London and US sessions. There were no reports out of Japan then and none are due today, which suggests that market sentiment could keep pushing yen pairs around. 

Commodity Currencies (AUD, NZD, CAD)

The comdolls gapped down over the weekend but were quick to fill these gaps when crude oil bounced. Reports of a strike among oil industry employees in Kuwait led to a huge drop in production, easing fears of a supply glut. The RBA minutes revealed that the central bank has room to cut rates if low inflation persists. RBA Governor Stevens and BOC Governor Poloz have testimonies lined up today. 

By Kate Curtis from Trader's Way