Forex news for European early trade on May 14, 2018
- ECB's Villeroy says end of net asset purchases is approaching
- Villeroy - comments on timing of first rate hike (in quarters, not years)
- OPEC bumps up world oil demand forecast
- Mester: Fed can stay on gradual upward path for rates
- Mester: Doesn't see stronger dollar as big risk to the outlook
- Mester says supports gradual rise in US. interest rates
- Japan said to mull car and home sales tax breaks
- League and 5-Star jostle for Italian Prime Minister
- Total CHF sight deposits 576.2B vs 575.9B prior
- Japan data - April Machine Tool Orders (preliminary): +22.0% y/y (vs. prior +28.1%)
- China's Vice-Premier is off to the US for trade talks on Tuesday
Markets
- Gold up $1 to $1319
- WTI crude up 9-cents to $70.79
- US 10-yaer yields up 1.5 bps to 2.98%
- UK FTSE 100 down 0.2%
- GBP leads, NZD lags
The euro is perky in the early going after Villeroy talked about the ECB changing its guidance on when it will hike rates following the end of QE. EUR/USD marched as high as 1.990 from 1.1960 as Europe arrived for the week.
Cable hit a two-day high of 1.3600 at the time of writing. Thursday's high of 1.3616 is in focus as sterling tries to make a bottom after flat trading for a week.
The yen is generally softer and that's helped USD/JPY climb to 109.60 in a steady 30 pip rise since the start of European trading.
The commodity currencies have generally been moving sideways.
