Forex Market Updates & Commentary

US Wholesale Inventories & Economic Optimism Both Slightly Lower
Forex Morning Report- August 10th
US Wholesale Inventories Data 10AM
USDJPY falls after weaker US Productivity data
GBPUSD falls as profit taking/slower global growth dominates
Canada New Housing Price Index Down
Nonfarm Productivity & Unit Labor Costs Both Weaker Data
Non Farm Productivity first time since 4th Quarter of 2008
Bobbys Corner-Open Market-August.10.2010
Canada Housing Starts Slightly Higher
Canada New Housing Price Data at 8:30
Canada Housing Starts Data 8:15AM
US Nonfarm Productivity & Unit Labor Costs Data 8:30AM
AUDUSD pressured by slower global growth
The NY Opening Forex Commentary looks at the pre FOMC market technical

US Wholesale Inventories & Economic Optimism Both Slightly Lower

Posted: 10 Aug 2010 07:02 AM PDT

Wholesale Inventories: Survey: 0.4% Actual: .1% Prior: 0.5%

IBD/TIPP Economic Optimism: Survey: 45.0 Actual: 43.6 Prior: 44.7

Forex Morning Report- August 10th

Posted: 10 Aug 2010 06:30 AM PDT

Forex Morning Report- August 10th

US Wholesale Inventories Data 10AM

Posted: 10 Aug 2010 05:59 AM PDT

USDJPY falls after weaker US Productivity data

Posted: 10 Aug 2010 05:55 AM PDT

GBPUSD falls as profit taking/slower global growth dominates

Posted: 10 Aug 2010 05:35 AM PDT

Canada New Housing Price Index Down

Posted: 10 Aug 2010 05:35 AM PDT

Nonfarm Productivity & Unit Labor Costs Both Weaker Data

Posted: 10 Aug 2010 05:34 AM PDT

Nonfarm Productivity: Survey: 0.1% Actual: -0.9% Prior: 2.8% Revised: 3.9%

Unit Labor Costs: Survey: 1.5% Actual: 0.2% Prior: -1.3% Revised: -3.7%

Second quarter Nonfarm Productivity negative for the first time since the fourth quarter of 2008, biggest decline since the third quarter of 2008 which was -1.3.

Non Farm Productivity first time since 4th Quarter of 2008

Posted: 10 Aug 2010 05:33 AM PDT

The Labor Costs gain of 0.2% comes on the heals of a revised -3.7% 1Q number (was -1.3%).

If Income is down and Productivity is down, both are not good news for economy/companies. Workers need income to spend. If they are not spending, companies need higher productivity to keep profits growing. This data does not suggest that and may pressure stocks.

Bobbys Corner-Open Market-August.10.2010

Posted: 10 Aug 2010 05:28 AM PDT

Good Morning:

All eyes will be on this afternoon’s FOMC statement at 2:15 PM.
The USD rose overnight-as market participants await comments by the FED this afternoon on the weakened state of the US economy. There is mounting agreement that the FED will not make any drastic changes in monetary policy now.
This will leave the door open for future policy change in the future if need be.

The GBP was lower overnight even though UK trade balance data was slightly better than expected.

World equity markets are lower-and US Futures are down 90 pts prior to the NY opening.

Oil:$79.95 Gold:$1194.40

TIME		FOR	EST	PRIOR
07:30AM	NFIB SMALL BUSINESS OPTIMISM	JULY	88.O	89.O
08:30AM	NONFARM PRODUCTIVITY	2 Q P	O.2%	2.80%
08:30AM	UNIT LABOR COSTS	2 Q P	1.50%	-1.30%
10:00AM	WHOLESALE INVENTORIES	JUNE	O.4%	O.5%
10:00AM	IBD/TIPP ECONOMIC OPTIMISM	AUGUST	———	44.7O
02:15PM	FOMC RATE DECISION	AUG 10	O.25%	O.25%