Monthly Archives: April 2012
USD/JPY Analysis
Opened in Asia at Y81.26 after a lacklustre NY session that ranged Y81.21-45, and slipped to Y81.17 in early trade this morning following a smaller than expected Japanese trade deficit.
Another China easing rumour supports risk in Asia
At the start of the Asian session we heard more rumours about an imminent China easing, which set risk off on a solid footing for the session. The China chatter came from a Xinhua news agency piece “announcing” (according to an un-named central bank official) that the central bank was to increase reverse repo operations […]
AUD/USD Analysis
Opened in Asia at $1.0359 after lows in NY of $1.0341, but remains in the broader range of $1.0300-1.0450 and lagged the euro as EUR/AUD bounced yesterday from A$1.2600 to A$1.2678.
UBS Morning Adviser Asia
Doves In Retreat While equities declined in sympathy with disappointing US corporate earnings results, the FX focus remains very much on the less dovish signals emanating from various central banks.
EUR Analysis
EUR/USD was defensive as EUR/GBP wilted in the wake of cable strength related to MPC 8-1 vote on further QE and lows were minted as the US session got underway. A modest bounce saw lift to $1.3100 around the ECB fixing before euro returned to the defensive and fresh lows were minted at $1.3058 on […]
JPY Analysis
Yen was on the defensive overnight though the USD was off its high by the time US traders hit the ground, dollar slippage continuing to Y81.30 as EUR/JPY eased to Y106.30 before rebounding slightly.
USTB Analysis
Treasuries hold near day’s price highs after opening NY higher, 10Y yield is at 1.988%. IN TOKYO, Treasuries traded lower in ranges, light two-way flows described in volume described at around half recent average.
UBS Morning Adviser America
Subtle BoE Changes The pound gained ground against the euro and dollar after the April BoE minutes revealed that the MPC voted 8-1 to keep QE unchanged and 9-0 for unchanged policy rate. Adam Posen , the staunch dove, changed his vote and voted inline with the majority.
Behavioral Finance: Daily Forex Outlook: Euro wedged in a narrow range
EUR USD (1.3120) The euro recovered from multi-months lows against the dollar leaving investors searching for a convincing explanation. Of course, at first glance, the better-than-expected April ZEW data, Germany’s monthly survey of investor optimism seemed to be the most obvious reason This explanation, however, looks hardly convincing.
GBP Analysis
Opened early Europe at $1.5931 stg0.8238 Cable closed in NY at $1.5920 after rate had corrected back from its earlier European highs of $1.5972 to $1.5916 in NY. Rate edged higher into early Asian dealing with good demand seen for sterling-yen from Japanese accounts which pushed cable to highs of $1.5945.
JPY Analysis
Opened at Y80.84 on a bid tone following yesterday’s strong rally in the NY session. Early buying from the outset in Asia this morning from Japanese names led the whole yen complex higher with the dollar pushing through Y81.00, triggering stops through the Ichimoku cloud top to highs of Y81.44.
Bund Analysis
German government bonds are trading higher Wednesday on weaker continental European stock bourses and following decent demand at the benchmark 2-year Schatz re-opening auction, albeit two-way flow.