NEWS / Foreign Exchange

The FOMC rate decision is due today as well

- On the US calendar today is the release of MBA mortgage applications for the week ending May 4, for which there are no estimates; mortgage applications are due out at 7:00 am. The FOMC rate decision is due today as well; the FOMC is expected to leave interest rates unchanged at 5.25%.  There is no new supply today, and there are no central bank speakers scheduled, however the FOMC will make an accompanying statement along with its interest rate decision.

- In a quiet European session overnight, the German trade balance rose to a surplus of ?‚¬18.4B, above expectations of ?‚¬15B, while the current account rose to a multi-decade high of ?‚¬17.2B. In line with the recent trend over the past 5 years, the French central government balance declined slightly to a deficit of ?‚¬24.7B

- In Asian economic news overnight Japan??™s Minister of Finance Omi reiterated that it is up to the Bank of Japan to decide specific interest rate levels and noted that he wants the BOJ to support steady economic growth. The preliminary leading economic index and coincident index in Japan were both in line with analysts??™ estimates at 40.0% and 22.2% respectively. The Nikkei 225 closed up 0.52% overnight, while the Hang Seng closed up 0.67%, and, over in Australia, the ASX 200 closed up 0.58%.