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29 May 2015
FX space for May break down - Scotiabank
FXStreet (Guatemala) - Eric Theoret, CFA, CMT Currency Strategist at Scotiabank broke down the FX space for May.
Key Quotes:
"The theme for May has been one of the broader USD, its performance driven by the shift in U.S. data providing for a stabilization in the growth outlook with direct implications for Fed policy normalization."
"The USD weakened broadly through the first half of the month, on a trend of worrisome data that culminated on May 15 with the triple release of soft Empire, industrial production, and UMich consumer sentiment figures."
"The subsequent USD rally was initiated by the San Francisco Fed’s May 18 report questioning ‘shockingly weak’ Q1 data in light of statistical adjustment issues, and USD gains continued in response to improved housing, inflation, and durable goods data as well as a relatively steady tone from Fed Chair Yellen and Vice Chair Fischer."
Key Quotes:
"The theme for May has been one of the broader USD, its performance driven by the shift in U.S. data providing for a stabilization in the growth outlook with direct implications for Fed policy normalization."
"The USD weakened broadly through the first half of the month, on a trend of worrisome data that culminated on May 15 with the triple release of soft Empire, industrial production, and UMich consumer sentiment figures."
"The subsequent USD rally was initiated by the San Francisco Fed’s May 18 report questioning ‘shockingly weak’ Q1 data in light of statistical adjustment issues, and USD gains continued in response to improved housing, inflation, and durable goods data as well as a relatively steady tone from Fed Chair Yellen and Vice Chair Fischer."