Markets are relatively quiet as a holiday shortened week starts. Asian equities are general higher but Nikkei fluctuates between gain and loss. WTI crude oil also recovers but is held below last week's high of 58.98 so far. Gold still lacks the follow through buying to sustain above 1200 handle. In the currency markets, dollar is generally lower today, except versus yen, as it digests some of last week's gains. Aussie is see broadly higher, in particular with EUR/AUD trying to extend the pull back from last week's top.
Latest CFTC data showed that on December 16, major currencies' position generally improved slightly except the Canadian dollar, which was dragged by the selloff in crude oil. Euro net shorts dropped slightly from -136.9k to -126.7k. Yen net shorts dropped from -104.1k to -86.9k. Sterling net shorts dropped from -23.6k to -14.6k. Canadian dollar net shorts rose slightly from -14.4k to -15.7k. Aussie net shorts dropped from -45.0k to -34.3k.
We have a holiday-shortened trading week and the economic data schedule is concentrated on the first half of the week. In the US existing home sales due today probably shows a drop to 5.21M units in November from 5.26M a month ago. Revision of 3Q14 GDP would be released on Tuesday. Annualized GDP probably expanded 4.3% in 3Q14, upwardly revised from 3.9% estimated previously. Durable goods orders, also due on Tuesday, might have gained 3.0% m/m in November, up from a 0.4% gain in October. Excluding transportation, the orders might have added 1.1% in November after contracting -0.9% a month ago. Also on Tuesday, we would have US new home sales which probably climbed 3K units higher to 461K in November. Meanwhile, both personal spending and income might have gained 0.5% m/m in November, up from 0.2% in the prior month.