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Finally some good  underlying data: core durable goods orders are up 0.5% in April, better than +0.3% expected. This also came on top of an(other) upwards revision to the March data to +0.6%. The headline orders number came out at -0.5% as expected, but on top of an upwards revision as well: 5.1% instead of 4.7% in March.

USD is stronger with EUR/USD sliding below 1.09.

More data: excluding defense and air, it’s 1% higher against 0.3% expected and with an upwards revision from -0.5% to 1.5% this time. Also other measures are better than expected for April and for the March revisions.

More:  US data beats with higher confidence and better new home sales

Currency reactions

US durable goods orders were expected to  slide by 0.4% in April after a  jump of 4.7% in March (revised data). Core orders carried expectations for +0.5% after an upwards revised 0.3%.  This Q2 figure should be good to support the V-shaped economic  activity theory.

The US dollar took a small break from its rally, with EUR/USD rising above 1.0925 just before  the event, partially erasing the big falls.

The original publication for March, which  showed  yet another drop in core orders, was very worrying as it reflected  an ongoing squeeze on investment.

Later we  have quite a few more economic indicators as US traders return from their bank holiday. Consumer confidence and new home sales stand out.

More:  State of EUR/USD – The fall, the recovery and what’s next