Forex Analysis
Baton pass – will non-mining capex respond?
– The economic game plan has rising non-mining capex as an offset to any downturn in mining construction activity.
USD Higher After Bernanke Comments
The USD has been rising against the JPY and the GBP for the majority of the session and
Bernanke: no cuts to QE yet
Despite recent improvement in the job market, the Fed has still little appetite for a slowing of the central bank’s bond purchases.
Daily Points
KEY POINTS: – Markets tentatively await Bernanke – BoJ willing to address downside risks…
Mid-Day FX Market Analysis
USD: The Dollar has already shown some corrective anticipation in advance of the Fed testimony today.
BOE Minutes: MPC voted 6-3 against expanding asset purchases
The message in Minutes from the May MPC meeting was very familiar and hence, the interpretation remains the same
GBP weakening again. JPY awaits Kuroda press conference
The market is bidding up Euro’s across the board as GBP, CHF and JPY were all weak yesterday.
BoJ MPM (21-22 May): Policy intact, no mention of interest rate volatility
Policy intact The BoJ wrapped up its two-day monetary policy meeting with a decision to leave monetary policy intact,
USD/JPY Analysis
The pair closed in NY Tuesday at Y102.52 after rate had pulled back from an intraday high of Y102.89 to Y102.26,
FX Daily
Market movers today – FOMC Minutes. It will be interesting to see how worried FOMC members were about the softness in economic data received up to the meeting.
GBP/USD Analysis
The pair closed in NY Tuesday at $1.5155 having recovered off a session low of $1.5113 to $1.5190 before drifting off into the close.
EUR/USD Analysis
The pair closed in NY Tuesday at $1.2909, having pulled back from recovery highs of $1.2934 (off intraday lows of $1.2841),