- Japanese PM Noda: Hopes BOJ will continue to act when appropriate
- BOJ Shirakawa: Pulling Japan out of deflation is a very important task
- Fed’s Bullard: No QE3 unless economy and inflation outlook deteriorate significantly
- Former RBA board member calls for 75bps rate cut
- UK private sector pay expected to rise by 2% in next year
- Nationwide measure of UK consumer confidence fell to 44 in February from 47 in January
- Nikkei and Hang Seng -1%; other regional Bourses -0.3%
- Gold $1645/oz; Oil $105.50/bbl
USD/JPY was again the only pair that showed any inclination to move. The pair traded quietly between 82.50/60 before Tokyo opened but the verbal intervention from Noda and Shirakawa and the comments from Bullard on QE3 meant that USD/JPY edged gradually higher, dragging the JPY crosses alongside. Solid offers and short-term technical resistance at 83.00 ensured that the rally ran out of steam just ahead of there. Ranges: USD/JPY 82.49/94; EUR/JPY 108.86/109.47
EUR/USD was again led by EUR/JPY and there was little definite interest to drive the EUR. Solid orders either side, bids at 1.3165 and offers near 1.3225, guaranteed a range trading session. Range: 1.3188/1.3213
AUD/USD was also quiet after the big sell-off overnight and again it was only AUD/JPY flows that brought any sort of turnover. Ranges: 1.0384/1.0411
Cable 1.5808/28; EUR/CHF 1.2055 choice!
