Forex trading news and economic data headlines 9 February 2017
News:
- World currency levels will definitely be discussed at G20 summit
- Russia's Nabiullina says FX purchases shouldn't be viewed as interventions to influence rouble
- RBA's Lowe says Australian economy is in decent shape, inflation will pick up gradually
- More from Lowe: It could turn out badly if US leads retreat from global free trade
- BOJ's Nakaso says it's appropriate for them to continue powerful easing
- More from Nakaso: Current shape of yield curve is appropriate
- Abe is off to the US! (Here's why: Japan firms face risk from rising global protectionism)
- Spotlight turns to House of Lords as Brexit bill makes its way into law
- Latest French election poll follows the status quo
- Co-operation between US and China is the only option
- Russia's Putin off to China in May
- AUDUSD off the leash after Lowe risk removed
- So Italy, how's progress going on those NPL's?
- Pound pumps higher to break the malaise
- Nikkei 225 closes down -0.53% at 18,907.67
Data:
- Germany December trade balance EUR +18.7bln vs +20.5bln prev
- Switzerland Jan unemployment rate 3.7% vs 3.6% exp
- Japan January machine tools flash 3.5% vs 4.4% prec
- China's January vehicle sales down -9.8% yy
A steady start that sprang into life with the pound spiking higher and GBPJPY in the frame once again.
USDJPY had rallied up to 112.34 from 111.75 in Asia and was gently in retreat and GBPUSD had failed a couple of times into 1.2480 support when all of a sudden we were surfing through 1.2550 offers from 1.2510 triggering stops to post 1.2572 in minutes. GBPJPY had held 140.00 again and was now up through 141.00 to post 141.25 with USDJPY nudging back up to 122.38.
EURJPY also rallied and that helped push EURUSD back up through 1.0700 to post 1.0709 and the same move/support was seen across other core pairs from the JPY supply.
No news to pre-empt the moves so we point the finger at order flows and attempts to take core pairs further have failed and we've now seen GBPUSD test 1.2550 again after 1.2582 highs before offers/res kicked back. EURUSD 1.0678 now but with USDJPY nudging up to test 112.50 we're seeing some general USD demand
AUDUSD has dropped back to 0.7644 from a rally to 0.7661 from 0.7625 on positive tones from RBA gov Lowe while USDCAD is finding dip-demand below 1.3120 after falls from 1.3160 with CADJPY in play.
USDCHF and EURCHF are just taking their own spike higher as I type with the SNB in the frame again.
Equities have had a good session with oil and gold both in retreat.
Initial jobless claims the data point of any note but we do have Fed's Bullard and BOE 's Carney up to the mics later.
