CHF/JPY: Choppy And Bullish

Today the major event is the release of May's trade deficit figure (-$63.8b), which is slightly less than expected, though more than the previous month. Once again, the simple grandness of this number will remind the market of the biggest risk to the Dollar's present strength. In April, capital inflows were only $42.7b and not on par with the trade shortfall. On the other hand, according to the White House, we may soon not have to fret so much about the other twin of the "twin deficits", namely the budget deficit, which is expected to have fallen sizably in recent months. Fiscal budget figures are due for release tomorrow. Read More....