Forex Market
GBP Analysis
Opened early Europe at $1.6281 stg0.8138, GBP closed in NY at $1.6260, off late session highs of $1.6280. Thin trade conditions, with Japan and China missing today, saw rate track the initial pullback in EUR/USD, the rate posting overnight lows at $1.6257 before picking up fresh demand that lifted it through Friday’s high to extend […]
JPY Analysis
Opened in early Europe at Y80.13 and Y106.15, USD/JPY opened in Asia at Y80.25 and headed lower to Y80.11 triggering stops on the move, before finding some support from hot money names covering shorts. A modest bounce of the lows saw the pair at Y80.18 as volumes remained light for the annual “Golden Week” holidays.
EUR Analysis
Opened early Europe at $1.3250, EUR/USD closed in NY Friday at $1.3252 after rate had pulled back from post US GDP highs of $1.32706 to $1.3235. Rate came under early sell pressure, on the back of EUR/JPY sales into a holiday thinned Asian session, Japan and China closed, the rate pressed to a low of […]
Speculative Positions
Positive GBP sentiment SEB Risk appetite index (RAI) Risk appetite ended the week slightly better but off the weekly highs.
GBP/USD Analysis
Closed in NY at $1.6260, off late session highs of $1.6280. Thin trade conditions, with Japan and China missing today, saw rate track the initial pullback in EUR/USD, the rate posting overnight lows at $1.6257 before picking up fresh demand that lifted the rate back through Friday’s high to extend the recent recovery to $1.6289.
RBA Preview – A rate cut, for sure, but a question of how much
The below-forecast releases of Australian inflation data for the first quarter has almost confirmed a rate cut at tomorrow’s RBA meeting – the question now remaining whether the central bank will deliver 25bp or 50bp in cuts.
EUR/USD Analysis
Closed in NY Friday at $1.3250 after rate had pulled back from post US GDP highs of $1.32706 to $1.3235. Rate came under early sell pressure, on the back of EUR/JPY sales into a holiday thinned Asian session, Japan and China closed, the rate pressed to a low of $1.3228 before meeting demand interest (NY […]
Technical Analysis
JPY strength. AUD downside turn? US bond yield up… EUR/USD Ended the week above 1.3227… USD/JPY Exited the 55d ma band… AUD/USD Rise looks corrective… EUR/SEK Next resistance violated… USD/SEK Failed breaking 6.75/76… EUR/NOK Soon to exit the bull flag.
AUD/USD Analysis
AUD/USD is currently seen trading $1.0452 ahead of the European opening, as the rate recovers some early declines seen during Asian trading hours. The pair started the week opening around $1.0457 before dipping down to $1.0436 within the first two hours of the session.
USD/JPY Analysis
USD/JPY was trading at Y80.15 ahead of the European open, close to the lower end of the session’s Y80.11 to Y80.38 range. The pair opened around Y80.25, edging higher in very light volume as Tokyo markets are closed for a public holiday – the first of the annual “Golden Week” holidays.
Calm Asian markets, one eye on the RBA (and holidays!) tomorrow
It was a quiet start in Asia to what will be a busy week, with holidays in Japan and China impacting activity. Currencies were range-bound and barely changed from Friday’s New York closing levels.
FX Markets Summary
U.S. gross domestic product, the broadest measure of the country’s economy, rose at a 2.2% rate in the first quarter, below the 2.6% growth rate economists had forecast. The weaker-than-expected report came as investors, concerned the U.S. economic recovery may be stumbling, have been eager to pinpoint the Federal Reserve’s next potential move.