Great US Durable Goods Orders, but Mixed GDP Report Leave USD Traders Puzzled
Skerdian Meta • 1 min read
After the turnaround higher in the USD yesterday and the other turnaround lower today. The market was eager to see what the economic data had in store for USD traders today. The market got excited for a moment from Trump’s comments yesterday about a strong Dollar, but that was just one hawkish comment after many dovish remarks regarding the USD.
So, as we said in the US session brief earlier, the market was waiting for more clues before pushing the USD lower or reversing the downtrend.
The US economy didn’t do as good in Q4 2017 as Trump had suggested
I was watching Trump’s speech an hour ago. But there were no comments about the USD, just the usual “Murica first” rhetoric. So, the economic data became important once again.
The US advance GDP report for Q4 of 2017 was published a while ago and it was a mixed bag. The previous quarter for Q3 was revised higher from 3.0% to 3.2%. But, the Q4 missed expectations. It was expected to be 3%, but the actual number was 2.6%.
The durable goods orders report though was a lot better. The monthly core durable orders jumped from -0.1% to 0.6%, while the durable orders posted a massive 2.9% jump from the previous month. These are some decent numbers. But the miss in the GDP report has scared the USD buyers, not that they had much confidence.
Anyway, the US Dollar is trying to crawl higher after a small decline initially. Our sell forex signal in NZD/USD is just a few pips above the take profit target. So hopefully we will have another winning signal soon.