Less than convincing data from the US: durable goods orders fell by 2.8%, slightly better than expected but on top of a downward revision. Worse off, core orders dropped by 1%, far worse than 0.2% expected and also with a downward revision. Jobless claims beat with 265K and with a small revision to 259K for the previous week, but this is not a real silver lining.
The US dollar dipped a bit but never went too far.
This leaves a sour taste in the mouths of traders going on holiday tomorrow.
Durable goods orders were expected to slide in February after the previous figures showed a big recovery. The Fed described investment as “soft” and this comes to a test with the core figures.
Currencies were mixed towards the publication, with the US dollar retreating off the highs.
The Data
Currencies
Background
The Fed went to the dovish end in the statement last week, but FOMC members that spoke up this week talked about a possible hike in April, something that still remains a remote option. Nevertheless, odds for a hike in June have shortened.
Tomorrow, on Good Friday, we’ll have the third and final read for US GDP for Q4. While the data may be somewhat stale, it will be watched. See how to trade the GDP with EUR/USD.:
