The markets were content on shrugging of any soft data releases out of the US on Tuesday with little attention paid to some discouraging housing numbers, and more of the focus placed on stronger industrial production and capacity utilization.

More here:
Loonie Stands Out on M&A Related Demand; Sterling Underperforms

Just as surely as the dollar’s consistent decline over the past two months was prone to a correction so too was the greenback’s five-day rally this past week ready for a break. This inevitability could have been deferred if there were enough fundamental momentum to bolster conviction in the risk aversion effort or if there was a specific catalyst for dollar buying.

See the rest here:
Dollar Puts in for its First Loss in Six Days as Tempered Risk Trends Ease Safety Demand

Excerpted from:
Scandi Daily 08.17

The Euro has traded higher as fears have subsided that the sovereign debt crisis could spread throughout the region and beyond. Bullish sentiment has started to wane as the single currency approaches fair value levels and traders head to the sidelines given the level of uncertainty surrounding the results of the stress tests on European banks.

Read more:
EUR/CAD Range Forecasts Short Opportunity

• Dollar’s Strength Most Prominent against a Weak Euro as Spending Rises, Activity Dulls
• Euro Falters as Inflation Cools, Greek Debt Sold and European Bank Loans Come Due
• British Pound Charges ahead after BoE Member Raises the Call for Rate Hikes
• New Zealand Dollar Advance Rebuffed Yet Again following Drop in Business Confidence
• Japanese Yen Offers Mixed Performance as Risk Trends, Data Blur Outlook

Excerpted from:

Continued here:
Australian PM Rudd Ousted; Sterling Outperforms

Read the original here:
USD Locked in Holding Pattern Ahead of Fed

The big news on the morning – that China had ended a two-year stint fixed rate regime – would not go unnoticed by oil traders. From a speculative perspective, this announcement was interpreted as a sign that capital markets should roar ahead; and for the fundamentally inclined, the news could be understood to mean the global economy would be able to put in for a more balanced economic economy.

Excerpt from:
Crude Squanders Early Rally on News China Had Dropped its Peg

Investor sentiment has improved quite dramatically over the weekend, with the news that China has pledged to allow its Yuan to appreciate, helping to drive all major markets higher.

Read the original:
Currencies Extend Gains on News of China Pledge for Yuan Flexibility

Go here to see the original:
FOMC Rate Decision, U.K. Budget Report Hold Major Implications

News releases can cause quite a bit of volatility but traders who prepare themselves are not necessarily surprised.

Read more here:
The DailyFX Economic Calendar

Original post:
Scandi Daily 06.04

The Australian and New Zealand Dollars declined as stocks fell in Asian trade amid fears that a slowdown in China will derail the global economic recovery. Euro Zone GDP and the US jobs report are in focus ahead.

Original post:
Australian, NZ Dollars Decline as Stocks Fall on China Slowdown Fears

A closed US market for Memorial Day, and a UK Spring Bank holiday, are expected to keep markets relatively light on Monday but this does not mean that we can’t expect to see some volatility, with plenty going to warrant some aggressive moves in either direction.

Read the original here:
Euro Expected to Remain Rangebound in Holiday Trade