Forex trading news and economic data headlines for the European morning session 14 June 2016
News:
- French police chief murder adds to market woes
- IEA raises global oil demand growth forecast to 1.3m bpd vs 1.2m bpd prev
- GBP wobbles again as BOE begins its pre-referendum liquidity additions
- IMF says China needs to focus more on credit growth
- ICM say they'll have no more polls before EU referendum
- Yen demand taking no prisoners as core pairs tumble
- GBPJPY breaks 150.00 again and sends core pairs lower
- Option expiries 10 am NY cut today 14 June
- Nikkei 225 closes down -1.0% at 15,859.00
Data:
- UK CPI May mm +0.2% vs +0.3% expected
- Eurozone Q1 employment qq +0.3% vs +0.3% prev
- Eurozone industrial production April mm SA +1.1% vs +0.8% exp
- Italy HICP May final yy -0.3% as expected
- Spain CPI May final mm +0.5% vs +0.6% exp
- Switzerland producer & import prices May mm +0.4% vs +0.1% exp
- US NFIB small business optimism May 93.8 vs 93.6 exp
- Japan industrial production April final mm +0.5% vs +0.4% expi
It's been a lively session with continued risk-off sentiment producing some sharp moves as JPY and CHF demand play out.
Too many moves to detail but from the off we've seen yen pairs sold producing falls in core pairs with GBPUSD down to 1.4112, EURUSD 1.1209, AUDUSD 0.7331, NZDUSD 0.6997 and USDCAD up to 1.2870 helped by softer oil prices. USDJPY has been down to 105.63 after failing to hold early gains above 106.00 but has since climbed back to test 106.00 again as traders take some yen pair profit off the table.
European equity markets have all been on the back foot with the DAX posting lows of 9511 and 10 year bund yields turning negative.
The pound has been mostly under the cosh but it's been the euro's turn to feel the heat and that has seen EURGBP down to test 0.7910 from 0.7973. UK inflation data saw CPI come in softer but PPI stronger than expected and GBPUSD has found some willing buyers taking money off the table but offers/res into 1.4200 has held the rally so far.
US retail sales data next up at 12.30 GMT but this market doesn't need these reports right now to send a few shudders through trading desks.
