Morning Market Update – Greenback Expects Mixed Reactions

Lael Brainard, a member of the US Federal Reserve’s Board of Governors, made no comments regarding the economic and monetary policy and stated that the labor market has grown stronger when compared to other sectors.

Japan’s manufacturing sector remained without any major changes and showed a slow growth in the past 6 months. The preliminary Nikkei-Markit PMI data shows that the PMI dropped down to 52.00 from 52.7 in April.

Moving on for the day, we await Yen’s All Industry Activity Index which is forecasted at -0.4% when compared to the previous release at 0.7%.

Germany’s Gross Domestic Product remains the same at 0.6%. We have some major news for France with Markit Manufacturing PMI showing a slight growth when compared to the previous release.

Greenback might see a mixed reaction for the day with Markit Manufacturing PMI showing better results and New Home Sales Change signaling weaker results. Any positive comments from FOMC Member Kashkari should hold the greenback from further downslide in the day.
For more detailed analysis from the author, please visit NoaFX.