News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
EUR/USD
Bearish
Oil - US Crude
Bearish
Wall Street
Bullish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Gold
Bullish
GBP/USD
Bearish
USD/JPY
Mixed
More View more
Real Time News
  • The Federal Reserve System (the Fed) was founded in 1913 by the United States Congress. The Fed’s actions and policies have a major impact on currency value, affecting many trades involving the US Dollar. Learn more about the Fed here: https://t.co/ADSC4sIHrP https://t.co/roqwTv3eyP
  • Technical analysis of charts aims to identify patterns and market trends by utilising differing forms of technical chart types and other chart functions. Learn about the top three technical analysis tools here: https://t.co/KDjIjLdTSk https://t.co/ghcFd5ufaD
  • Traders tend to overcomplicate things when they’re starting out in the forex market. This fact is unfortunate but undeniably true. Simplify your trading strategy with these four indicators here: https://t.co/fYgcMxImlP https://t.co/kkekBVYvhV
  • Traders utilize varying time frames to speculate in the forex market. The two most common are long- and short-term-time frames which transmits through to trend and trigger charts. Learn more about time-frame analysis here: https://t.co/9S5tXIs3SX https://t.co/VwIkOMpvYl
  • “The UK and EU have agreed to return to the negotiating table to try to agree a post-#Brexit trade deal. But on Friday, a joint statement said ‘significant divergences’ remained.” - BBC News #GBP
  • Multiple time frame analysis follows a top down approach when trading and allows traders to gauge the longer-term trend while spotting ideal entries on a smaller time frame chart. Learn how to incorporate multiple time frame analysis here: https://t.co/Sy3g6HGLrR https://t.co/aRfVCRZut3
  • Forex sentiment analysis can be a useful tool to help traders understand and act on price behavior. Learn how to get the most out of understanding trader sentiment here: https://t.co/rJznrXkcYz https://t.co/uUh18lR3yK
  • The rising wedge is a popular reversal pattern that is predictive in nature and can give traders a clue to the direction and distance of the next price move. Incorporate the rising wedge in your trading strategy and learn more here: https://t.co/zTTk2WOrj9 https://t.co/q5oBalZieU
  • Both the S&P 500 and $EURUSD will enter the coming week with momentum to their back. What can trip up the rallies? What could keep them going? My overview for the week ahead: https://www.dailyfx.com/forex/video/daily_news_report/2020/12/05/SP-500-and-EURUSD-Rallies-Face-Different-Conviction-Questions-.html?ref-author=Kicklighter&QPID=917719&CHID=9 https://t.co/YfEXEhkbhl
  • After the recent strength of EUR/USD, a period of consolidation is likely ahead of two critical meetings: of the European Central Bank and the European Council. Get your $EURUSD market update from @MartinSEssex here:https://t.co/Slu7tHo2a4 https://t.co/9am4szeia1
USDollar Rises as Durable Goods Orders Shrink But Beat Expectations

USDollar Rises as Durable Goods Orders Shrink But Beat Expectations

2016-12-22 14:45:00
Omar Habib,
Share:

Talking Points:

- US Durable Goods came in less negative than expectations and previous data saw an upward revision.

- US GDP for third quarter was revised higher as personal consumption data rose.

- USD/JPY rose to a high for the day following the news.

November US Advance Durable Goods Orders came in above expectations, coming in at -4.6%, above the expectation of -4.8%. However, this is significantly below last month’s read of 4.6% which was revised up to 4.8%. The underlying data was better shown through Durable Goods ex Transportation, which rose 0.5% versus expectations of 0.2%, and last month’s was revised up to 0.9% from 0.8%.

Also out today were GDP updates. GDP for Q3 was revised higher, to 3.5% from 3.2%, as Personal Conumption Expenditures rose to 3.0% from the previous 2.8%. Initial Jobless Claims came in higher than expected, at 275k versus 257k expected and 254k last week.

While headline Durable Goods Orders shrank, ex-transportation shows a less skewed, core number. Today’s reports are still in line with belief on the strength of the US consumer, who has almost single-handedly maintained positive GDP readings in the three quarters of this year. Personal Consumption Expenditures, roughly 72% of GDP, grew by 4.2% in the second quarter as compared to headline Q2 GDP read of 1.1%. In Q3, GDP grew by 3.5%, helped along by a 3.0% growth in consumer spending. The US consumer is generally considered to be the engine of the US economy, and the continued strength of Durable Goods Orders (ex Transportation) data may push away fears of a slowing economy.

See the DailyFX economic calendar for Thursday, December 22, 2016

Chart 1: USD/JPY 1-minute Chart (December 22, 2016 Intraday)

USDollar Rises as Durable Goods Orders Shrink But Beat Expectations

In the immediate wake of the data, the US Dollar rose sharply against the Euro, reversed, and then rose again. USD/JPY rose to 117.851 from $117.664. Soon after, it reversed those gains and fell back to around 117.686 and then reversed again. By the time this report was written, the pair was trending back higher at around 117.845.

--- Written by Omar Habib, DailyFX Research

For comments or questions, e-mail feedback@dailyfx.com

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES