Summary:
- Strong rise in US industrial production for December
- Prior reading revised lower however
- USD looking for first daily gain in a week
On a quiet afternoon of economic data from the US the latest industrial production figures have provided a positive reading. The data form December showed a rise of 0.9% M/M, well above the 0.4% expected. However the prior reading of 0.2% was revised lower to -0.1% to leave it as only the 3rd negative print of the year and providing a boost to the most recent data.
The latest industrial production figure showed an increase but it still lags the ISM manufacturing data. Source: XTB Macrobond
The US dollar is trading higher on the day, but it has fallen back a little as the US session has begun despite the data beat. A series of large declines have weighed on the USD index last week and this morning it reached its lowest level since 2014. The market may be attempting to start a recovery today after 5 consecutive days of lower closes but on longer term time frames price has made a fairly significant break lower in falling below the 91 handle.
The USDIDX remains in a clear long term downtrend channel despite moving higher today. Source: xStation