Forex news and economic data headlines for the European session 9 June 2016
Asia round-up: RBNZ holds, NZD soars
May fib keeps EURUSD in check
Poland has ample cash reserves if Brexit hits the market
Greek deflation lessens and industrial production gets a boost
April 2016 UK visible trade balance -10.526bn vs -11.100bn exp
Yen buying is the flavour of the day
ECB's Villeroy: As long as inflation is too low we must take action
Italy Q1 unemployment rate 11.6% as exp
ECB's Draghi says other policies must be aligned with monetary policy
Option expiries 10 am NY cut today 9 June
Germany trade balance April +EUR 25.6bln vs +22.8bln exp
ECB's Liikanen says helicopter money not discussed
More from Nakaso: Important to sustain market confidence over Japan's fiscal policy
BOJ's Nakaso says price trends continue to improve
Earthquake measuring 6.2 strikes off Indonesia's Lombok
A steady start in Europe burst into life just as I sat down. Large sell orders had been pushed through GBPJPY in London and then Japanese investors decided that they didn't have enough shorts in EURJPY and so started piling in to those. EURJPY lost around 100 pips from 121.70 from the start to finish of that move, and it took EURUSD along for the ride as we fell through 1.1400 down to 1.1342 late in the session. Yen pairs have stabilised somewhat but now the euro is looking soft all on its own.
Obviously GBPUSD went along with GBPJPY in falling and it found itself down some 80 pips from the point of the drop at 1.4525.
The kiwi had a stormer after the RBNZ stayed put on rates. It's slowly giving some of that back after stalling ahead of resistance at 0.7160 and bigger at 0.7200. 0.7100 is trying to stay alive despite a brief dip below. Failure to hold could see a drop back to 0.7000 with 0.7175 and 0.7050 being possible speedhumps.
AUDUSD has been under the cosh from its own cross action, mainly AUDNZD. It sits 15 pips off the days low at 0.7421.
USDJPY remains in limbo and a follower not a leader as the crosses took over. Whatever the reason,s we continue to edge down towards the year's low at 105.50 and that's a move that needs watching.
