Several Positive Economic Readings In The United States

Just as Europe revealed some negative indicators, the U.S. motivates with encouraging numbers.

To summarize:

Q3 GDP = 3.9% vs. expected 3.1%
GDP Price Index = 0.8% vs. expected 2%
ADP = +106k new jobs vs. expected +60k
Job cost index: +0.8% quarterly vs. expected +0.9%

Europe indicated higher inflation and slower growth while the U.S. shows the reverse with controlled (more than expected) inflation and better than expected growth.

The positive news concerning the U.S. economy could be seen by the USD recovering positions in the crosses right after the GDP data. The move was limited however and we must conclude that had it not been for the highly anticipated FED interest rate decision the move would be greater.

Even though some say that an interest rate cut is discounted by the market, the potential for some wild volatility is certainly there.