Obviously the report was better than expected but the market is still forward looking. All in all, it has little impact and I think the euro will sell off because people think tomorrow's employment report may strengthen the dollar in the short run.
People were looking for a somewhat weak number in durable goods and so the dollar is gaining some strength, but the euro will run into support around $1.2210. The market will buy on any dips.
Regardless of the numbers the general tone of the market is dollar negative. You've got people jumping on the bandwagon.
We will see a good rally in the Canadian dollar if it is extremely bad and refineries get hit, because Canada is a major producer of oil.
It was very dollar positive, as it gets factored into the GDP (gross domestic product) numbers. GDP growth may be revised up a bit.
It's going to be hard to drive the dollar down right now.