Forex Major Currencies Outlook (Oct 28, 2015)

Data from the US economy came in mostly weaker than expected, with core durable goods data, flash services PMI, and the CB consumer confidence index landing short of consensus. Traders might've also booked profits ahead of the FOMC statement later today, as this could spark huge moves across dollar pairs.

EUR

The euro struggled to keep its head above water yesterday since there were no reports to neither give it a boost nor push it lower. For today, the German import prices data and GfK consumer climate index are up for release, with another batch of weak readings likely to allow the selloff to resume.

GBP

The pound was in a bit of a weak spot yesterday since the UK printed a weaker than expected preliminary GDP reading. The economy expanded only 0.5% in Q3, slower than the estimated 0.6% growth and the previous 0.7% expansion. There are no reports due from the UK today.

CHF

The franc was able to hold its ground in recent trading sessions, as the lack of top-tier data kept both gains and losses in check. There are still no reports due from the Swiss economy today, leaving market sentiment in control of price action among the franc pairs.

JPY

The yen stayed strong yesterday since risk appetite appeared to weaken. Earlier today, data from Japan showed a 0.2% decline in retail sales instead of the estimated 0.4% uptick, setting the stage for weaker reports later this week. No other reports are lined up for today.

Commodity Currencies (AUD, NZD, CAD)

The comdolls gave up ground earlier when Australia printed a bleak CPI reading of 0.5% versus the projected 0.7% figure for Q3. The RBNZ statement is coming up next, just after the FOMC decision, and no interest rate changes are expected for now. Reassuring remarks from Governor Wheeler might also be enough to keep the Kiwi afloat.

By Kate Curtis from Trader's Way