Forex news and economic headlines 14 April 2016
News:
- Latest Brexit poll has Leave and Remain tied on 39%
- Pound wobbles on talk of 2 MPC members voting to cut rates
- Japan's Mitsui Life says they will decrease yen bond holdings in FY 2016/17
- Japan's LDP to prepare the ground ahead of next year's sales tax rise
- BOJ seen easing further by July - Reuters poll
- SNB's Maechler says the economic outlook is fragile with downside risks
- More from Maechler: There is a lower bound to negative rates
- Preview: Bank of England MPC not for turning anytime soon
- Option expiries 10am NY cut today 14 April
- Macquarie pushes back RBA rate cut expectations to August
- Nikkei 225 closes up +3.23% at 16,911.05
Data:
- Eurozone March CPI yy 0.0% vs -0.1% expected
- Italy HICP March yy final -0.2% vs -0.3% exp
- Switzerland PPI March mm 0.0% vs -0.2% expected
Posting this a little earlier than usual to clear the decks for what could be a bun-fight at the top of the hour with the BOE MPC releases.
An up n down and round n round session that has seen yen demand return, USD fall again after early gains and the pound giving up some hard earned gains on talk of a 2 MPC members looking to vote for a rate cut.
GBPUSD has been down to 1.4091, back to 1.4177 and then posting 1.4122 on the MPC rumours. EURGBP rally ran out of steam at 0.7975 falling to 0.7946 before climbing back to 0;7968 as I type.
USDJPY failed above 109.50 again despite a stronger Nikkei and has since been down to test 109.00 with yen pairs similarly finding caps.
EURUSD had an early look below 1.1250 but found more option-related support into 1.1230 to rebound to 1.1273 before running into fresh sellers keeping it contained ahead of expiry time.
USDCAD enjoyed the ride higher to 1.2898 on the early USD demand and softer oil but all three reversed to post 1.2840 as I type.
On-going AUDNZD demand featured with corresponding impact on core pairs. AUDUSD gains tempered by large option expiries at 0.7670 and 0.7700
US CPI also looming at 12.30 GMT but keep an eye on those options afterwards into 14.00 GMT
