Forex news for New York trade on April 9, 2020:
Markets:
- S&P 500 up 0.8% to record 4128
- US 10-year yield up 3.75 bps to 1.66%
- Gold down $13 to $1743
- WTI crude down 25-cents to $59.35
- CAD leads, AUD lags
The Canadian jobs report was a stunner and far-surpassed expectations. The market’s response was more tepid that you might have anticipated but that owes to fresh lockdowns in April and the belief that all those people are going right back on unemployment insurance. Later, the market warmed up the report more, especially as risk appetite improved. At the end of the day, USD/CAD finished near the lows.
The euro demonstrated the same resilience that we’ve seen all week. It had stumbled down to 1.1867 early in US trading but found its leg shortly after in a steady climb to just above 1.19. Lagard’s comments weren’t a factor.
Sterling has been choppy this week and Friday was no exception. It slumped in Asia but regained a footing, especially into the London fix. It ultimately turned mildly positive but it couldn’t last though and GBP/USD closed a quarter-cent lower.
USD/JPY had some life and there was a bid to break 110.00 but offers there held after PPI and then the bond market cooled off and so did this pair, falling back to 109.65.
AUD/USD and NZD/USD both consolidated the drops in Asia-Pacific trading to finish solidly lower but in the middle of the daily range.