Forex news headlines and economic data for the European session 2 June 2016
News:
- ECB Preview: Draghi unlikely to bring anything out of the hat this time but that's no reason to be complacent
- ECB Preview: Here's the thoughts of a few major banks
- Kuwait says OPEC strategy is working
- Saudi Arabia says they will gain larger oil market share as global demand grows
- Saudi Arabia says oil prices will respond according to re-balancing
- Moody's says Japan's sales-tax hike delay is credit negative
- BOJ's Sato says delay of sales tax hike will not affect monetary policy
- Japan's Abe says Abenomics is producing results
- Spain to have current account surplus in 2016
- Forex Trading Education: Trust in marriage/Trust in trading.
- Option expiries 10 am NY cut today 2 June
- Nikkei 225 closes down -2.32% at 16,562.55
ForexLive and BK Forex are teaming up for a Non-farm payrolls extravaganza
Data:
- UK Markit/CIPS May construction PMI 51.2 vs 52.0 exp
- Eurozone PPI April mm -0.3% vs +0.1% exp
- Spain net unemployment change May -119.8k vs -104.8k exp
- Japan consumer confidence index May 40.9 vs 40.1 exp
It's been all about waiting on the man but there's been opportunity nonetheless.
USDJPY found a little support early doors as the Nikkei pared some losses but gains above 109.00 were short lived and we test 108.80 support again with yen demand general prevailing across the board. Failure to penetrate lower brought some consolidation but yen demand has continued to weigh on other core pairs.
EURUSD was mostly 1.1200-20 but we've now seen 1.1193 as EURJPY fell below 122.00 again and EURGBP has also dipped below 0.7750 support as traders get a few pre-ECB jitters.
The EURGBP supply has helped underpin cable which earlier tested 1.4450 offers/res only to retreat back to 1.4420 helped by softer PMI data. We've since seen the EURGBP retreat from 0.7775 though and that's given GBPUSD another lift up to post highs of 1.4468 before finding fresh sellers.
AUDJPY supply has helped cap AUDUSD with large option expiry interest at 0.7240 noted and we've seen a move down toward 0.7200 support from 0.7245. USDCAD has pushed up through 1.3100 as oil prices retreat with the OPEC meeting offering little of note so far apart from a mixed bag of hopes and fears. Large option expiries at 1.3100 in play.
There's US data coming up to throw into the mix but it's all about the ECB though, and whether Draghi delivers anything of note.
