The Philly Fed ends a long run of losing US figures this week. It hit 7.5 points in April, better than 6.5 expected. The Employment component reached 11.5 vs 3. This is also somewhat encouraging towards the next jobs report, but is only a fraction of the overall economy.
The US dollar is hesitant. Update: we are beginning to see some strengthening in the greenback, with EUR/USD sliding towards 1.07 from above 1.0730 prior to the publication, but it isn’t a huge move.
This could strengthen the theory that Q1 was horrible but Q2 will be much better. just like last year.
The Philadelphia Fed Manufacturing Index was expected to tick up from 5 to 6.5 points for the month of April. This is a very early read for the manufacturing sector.
Previous figures released today added to the gloomy picture of the US economy in March and in Q1 in general.
Earlier in the week, industrial output fell more than expected. More importantly, retail sales finally bounced, but less than expected.
Tomorrow we have more important releases in the US. See how to trade the consumer confidence number with EUR/USD.
