- RBA minutes from the rate-cut meeting were less dovish than expected; they considered leaving rates unchanged
- Regional stockmarkets fall by around 0.5% on average
- Two-day BOJ policy meeting started today
- PBOC fixes USD/CNY at higher level, probably reacting to the tongue-lashing from President Obama on currency policy
- USD/JPY spikes higher on BOJ rumour but quickly falls back
Overall a quiet day apart from some brief flurries in the AUD and the Yen.
AUD/USD opened at 1.0210, fell to 1.0185 in early trade but recovered when the RBA minutes were released. The fact that the AUD/USD couldn’t maintain any rally on the less-dovish than expected minutes led to a late liquidation of long positions. Real money selling of the NZD also had an impact but so far technical support in AUD/USD at 1.0160 continues to hold. Ranges: 1.0161/1.0225
EUR/USD has been led by the AUD but orders either side of the market at 1.3590/1.3650 have maintained the range-trading bias. Overall range 1.3593/1.3640
USD/JPY had one brief flurry from 77.15 to 77.51 and then straight back again with some traders blaming BOJ rumours and others blaming a fat finger on the EBS. Apart from that, trade has been very quiet. Ranges: 76.96/77.51
Cable 1.5870/1.5813; USD/CHF .9073/.9111
