Friday, June 25, 2010

Action Insight Mid-Day Report 6-25-10

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Action Insight Market Overview Markets Snapshot

Mid-Day Report: Markets in Consolidation, Canadian Dollar Weak

Markets are generally staying in tight range in early US session. US GDP growth for Q1 was revised lower from 3.0% to 2.7% annualized but triggered little reaction to markets. Yuan was the major topic today as it rose to record high just ahead of G20 meeting. Other data released today saw German Import price index rose 0.6% mom in May. Japan national core CPI improved more than expected to -1.2% yoy in May while Tokyo core CPI also improved to -1.3% yoy in June. New Zealand trade surplus widened more than expected to NZD 814M in May.

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Featured Technical Report

EUR/USD Mid-Day Outlook

Daily Pivots: (S1) 1.2267; (P) 1.2327 (R1) 1.2393; More.

EUR/USD continues to stay in tight range below 1.2466 and intraday bias remains neutral. On the downside, below 1.2209 will revive the case that rebound from 1.1875 is already completed at 1.2466 and will target a retest on 1.1875. On the upside, above 1.2446 will bring another rise to target 38.2% retracement of 1.3691 to 1.1875 at 1.2569. But strong resistance should be seen at 1.2671 to limit upside and bring reversal finally.

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GMT Ccy Events Actual Consensus Previous Revised
22:45 NZD Trade Balance (NZD) May 814M 767M 656M 665M
23:01 GBP BOE Financial Stability Report -- --
23:30 JPY Tokyo CPI Core Y/Y Jun -1.30% -1.40% -1.60% -1.50%
23:30 JPY National CPI Core Y/Y May -1.20% -1.30% -1.50%
06:00 EUR German Import Price Index M/M May 0.60% 0.20% 2.00%
09:00 EUR SNB Quarterly Bulletin
12:30 USD GDP (Annualized) Q1 F 2.70% 3.00% 3.00%
12:30 USD GDP Price Index Q1 F 1.10% 1.00% 1.00%
12:30 USD Core PCE Q/Q Q1 F 0.70% 0.60% 0.60%
13:55 USD U. of Michigan Confidence Jun F 75.5 75.5
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