EUR/USD
Europe’s two-speed economy was underscored in data showing strengthening in the German labor market. Overall euro-area unemployment was at 11.9 percent in February. In Italy it rose to 13 percent, while in Germany the locally defined jobless rate for March stayed at the lowest in at least two decades. In Germany, the number of people out of work dropped by a seasonally-adjusted 12,000 to 2.9 million in March, after falling a revised 15,000 the previous month. The adjusted jobless rate was unchanged at 6.7 percent after being revised down in February. Euro rose to 1.3780.
GBP/USD
The pound weakened for the first time in seven days against the dollar after an industry report showed U.K. manufacturing expanded at a slower pace last month than economists forecast. “The pound erased earlier gains after the manufacturing data, which came in weaker than expected,” said Jane Foley, a senior currency strategist at Rabobank International in London. “The headline number was actually not bad but the market reaction suggested a lot of good news about the U.K. economy has already been in the price.” The pound declined 0.1 percent to $1.6649 .
USD/JPY
Japan’s Government Pension Investment Fund said it will maintain its portfolio and deviation limits for the fiscal year beginning today, while allowing flexibility in the deviation when needed, according to a statement on its website. GPIF, the world’s biggest pension fund, had 55 percent of its 128.6 trillion yen ($1.25 trillion) of assets in Japanese bonds as of Dec. 31. “The Tankan was weak,” said Kengo Suzuki, chief currency strategist at Mizuho Securities Co. in Tokyo. “Some investors buying the dollar against the yen may take profits as it climbed above 103 in the past few days.” Yen reach to 103.80.
USD/CAD
Canada’s gross domestic product rebounded in January as manufacturers led an expansion that was faster than economists anticipated. The world’s 11th largest economy grew by 0.5 percent to an annualized C$1.61 trillion ($1.46 trillion), recouping December’s 0.5 percent decline, Statistics Canada said today in Ottawa. Canada’s dollar rose as the data suggested an economy holding on through a harsh winter that Bank of Canada Governor Stephen Poloz said is restraining output. Canada’s biggest trading partner is also shrugging off the bad weather, with the U.S. reporting on March 27 consumer spending rose the most in three years between October and December. Canadian dollar traded at 1.1020.
