Forex Market Updates & Commentary

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• Canada Ivey PMI Data due at 10AM
• Bobbys Corner-Open Market-April.6.2011
• Fed’s Lockhart on the Wires
• German Factory Orders rise 2.4% from prior month
• Euro final GDP (q/q) 0.3% as expected.
• UK Manufacturing Production unchanged, a 0.6% gain was expected
• Swiss still lower
• USD/CHF tests .92068 following CPI reading
• Swiss March Consumer Prices rise 0.6% from a month ago
• Swiss CPI (m/m) coming up in 5 minutes…
• U.K. HPI 0.1%
• U.K. Halifax HPI (m/m) @ 3 am….
• Japanese Leading Indicators
• 4-6 Economic Calender

Canada Ivey PMI Data due at 10AM Posted: 06 Apr 2011 06:17 AM PDT

Bobbys Corner-Open Market-April.6.2011 Posted: 06 Apr 2011 05:59 AM PDT Good Morning: The euro hit  a new 14 month high against the USD ahead of tommorrow’s ECB meeting.  Analysts agrees that the ECB will most likely raise their benchmark interest rate by 25 basis points.  The rally in the euro is interest rate driven-and speculation that there will be more hikes in the future are also helping keeping the euro bolstered. JPY lost ground overnight as speculation mounts that Japan’s stimulus packages will need to stay in place longer than any other developed nation, as the country struggles to rebuild after the March 11th earthquake. Asian equity markets were mixed, while European and US Futures are higher this morning. Gold hit a new record in overnight trading, as inflation fears push the metal higher. With poliotical problems in Libya and the Middle East, sovereign debt issues in the Euro Zone, a nuclear disaster still unfolding in Japan, and the out of control US deficit-investors are doing all they can to protect their wealth. Oil:$108.51                                                Gold:$1459.90 No Major US DATA today. HAVE A GREAT DAY & GOOD LUCK

Fed’s Lockhart on the Wires Posted: 06 Apr 2011 04:32 AM PDT Says: He will pay more attention to credit expansion Expects rise in commodity prices will level off Wouldn’t rule out tightening by end of the year Hard to speculate about conditions late in the year Credit can be an indication of improving economy Monetary policy not fueling commodity prices Inflation has firmed ‘as we actually had hoped’ Supports completing quantitative easing as planned QE2 helped on disinflation reversal, growth Economy fragile, still facing uncertainty ‘Comfortable’ with current inflation numbers

German Factory Orders rise 2.4% from prior month Posted: 06 Apr 2011 03:03 AM PDT German February Factory Orders m/m rose 2.4%, a 0.6% rise was expected. Eur/Usd has made a new session high of 1.4316 upon release.

Euro final GDP (q/q) 0.3% as expected. Posted: 06 Apr 2011 02:01 AM PDT

UK Manufacturing Production unchanged, a 0.6% gain was expected Posted: 06 Apr 2011 01:37 AM PDT UK Manufacturing Production m/m came in at 0.0%, weaker than the 0.6% expected. Industrial Production m/m came in at -1.2%, weaker than the 0.4% expected. Gbp weakened on rthe heels of this data with Gbp/Usd dropping 50 points to 1.6285. Eur/Gbp gained 30 points to .8762.

Swiss still lower Posted: 06 Apr 2011 12:46 AM PDT After gaining over 100 pips against the Euro, it seems that the franc may have cooled off a bit. Seen below, the pair sold off through the 23.6% and 38.2% retracement levels and found a low of 1.30969; where the 100 hour moving average meets a bullish trendline which began forming back on March 23rd. The pair has sinced rebounded slightly and if support holds our next target should be 1.31672.

USD/CHF tests .92068 following CPI reading Posted: 06 Apr 2011 12:31 AM PDT The Swiss franc made gains against all of the major currencies following a stronger than expected monthly CPI reading. In the case of the franc versus the USD, the pair broke through upward trendline support as well as the 50.0% fibo line and may have found possible support at the 61.8% line. Further momentum could see the pair continue lower in which case our next target would be .91875: a recent low.

Swiss March Consumer Prices rise 0.6% from a month ago Posted: 06 Apr 2011 12:20 AM PDT Swiss CPI m/m came in at 0.6%, stronger than the 0.2% expected and prior reading of 0.4%. Usd/Chf and Eur/Chf both felt the affects of this strong number for the Chf. Usd/Chf has dropped 35 points since release to .9220 and Eur/Chf 50 points to 1.3166.

Swiss CPI (m/m) coming up in 5 minutes… Posted: 06 Apr 2011 12:09 AM PDT

U.K. HPI 0.1% Posted: 06 Apr 2011 12:01 AM PDT Slightly worse than the 0.2% forecast, but better than the -0.9% prior reading. The GBP is currently trading off session highs against the USD.

U.K. Halifax HPI (m/m) @ 3 am…. Posted: 05 Apr 2011 11:53 PM PDT

Japanese Leading Indicators Posted: 05 Apr 2011 10:01 PM PDT The market had a limited reaction after Japan’s leading indicators came in at 104.2%; slightly worse than the 104.3% forecast and 101.5% prior reading.

4-6 Economic Calender Posted: 05 Apr 2011 08:48 PM PDT

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