Australia data help EUR-funded risk trade
What happened overnight
* Australia jobs data better than expected; NZ worse
* China growth data weak but inflation leaves room for easing
* BOJ and BOK leave policy unchanged
Currency markets are pivoting on a Euro axis once again, with the EUR broadly weaker as risk appetite improves. EURAUD has slid towards the lows from earlier this month as AUDUSD regained 1.06 after a stronger than expected Australian jobs report and despite slightly below consensus Chinese data. EURNOK is an exception, with that cross managing a bounce afterWednesday’s big break lower. EURUSD is also lower, slipping back towards 1.23, while EURJPY is testing Wednesday’s 96.58 lows. Equity markets were higher in most of Asia, while indices are mixed in Europe and the S&P future is flat. Sovereign markets are stable in Europe, with Italian and Spanish yields little changed on net.
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Credit Suisse