It has been a relatively calm trading day and week in forex, with not much on the economic calendar to drive significant market action. The dollar held steady and edged slightly higher for the day, benefiting from a climb above 155.00 in USD/JPY . The pair is gradually advancing as buyers step in on dips this week, with the price currently up 0.5% to 155.45.

Stock Markets Take A Pause

However, gains are being capped by the 50 simple moving average (155.70)  on the H4 chart ahead of the US trading session. In the futures market, US futures are taking a pause after recent gains, with S&P 500 futures down 0.3% following yesterday’s relatively subdued performance, while Dow Jones is little changed. Meanwhile, European markets are still holding onto modest gains, with the UK FTSE striving for new record highs today.

USD Up in European Session then Down Again

There was some USD strength earlier today in  the European session which was also supported by a slight increase in bond yields during the session. 10-year Treasury rates were up by 34basis points as traders digest recent economic developments since last week, but they have come down now. In terms of currency pairs, the USD remains relatively firm against the euro and the pound. However, EUR/USD is holding steady for the day, around the 0.750s range, as both sellers and buyers contend for control.

US Wholesale Inventories for March 2024

• March wholesale inventories (revised) -0.4% versus -0.4% preliminary

• February wholesale inventories +0.4%

• Wholesales human toys for March comes in at -0.4%, unchanged from the preliminary release. Last month the inventories rose +0.4%.

• Wholesale sales -1.3% after a 2.0 percent gain last month (revised from 2.3%). Weakest since January when it was down -1.8%
• Sales came in at $662.8B
• Wholesale sales were up 1.4% compared to March 2023
• The March inventories/sales ratio for merchant wholesalers, except manufacturers’ sales branches and offices, based on seasonally adjusted data, was 1.35. The March 2023 ratio was 1.40.

USD/JPY Live Chart