Forex news and economic data headlines 13 October 2016
News:
- UK's Johnson says there's no inconsistency between border control and need to embrace skilled workers
- First Brexit hearing begins in the UK High Court
- Weaker pound sees war raging in UK retail land
- Iran deploys two warships off the Yemen coast
- RBI's Patel says financial market turbulence spillover is a challenge to BRICS nations
- Japan's Fukoku says they will continue to invest in foreign assets
- RBA add South Korean won to its forex reserves portfolio
- USD loses some traction and USDCAD suffers forex technical analysis
- Cheerio 1.10 in EURUSD - What's next?
- More option expiries of note over the next few days
- The top 500 billionaires are up a total of $254.5bn YTD
- Option expiries for the 10 am NY cut today 13 Oct
- Nikkei 225 closes down -0.39% at 16,774.24
Data:
- Germany Sept CPI final mm +0.1% vs +0.1% exp
- Japan tertiary industry index Aug mm 0.0% vs -0.2% exp
Another lively session sees currency pairs in busy mode but with many questions still remaining.
USDJPY began the session near its Asian retreat lows into 103.50 support on weaker Chinese trade data and a failure to get back above the pivotal 104.00 area lent itself to further yen demand.
That in turn saw GBPUSD fall to 1.2133 on GBPJPY sales outstripping EURJPY supply and that saw EURGBP up to 0.9068 from 0.9035 only to fall back again on added euro supply.
EURUSD gave up a strong defence of 1.1000 to post 1.0986 before a wave of USD selling/profit-taking saw a test of 1.1030 with GBPUSD back above 1.2200. USDCAD fell sharply to 1.3240 from 1.3300 on a combo of the USD supply, firmer oil and t/a.
Meanwhile AUDUSD and NZDUSD took full advantage of the USD correction to post 0.7555 and 0.7074 from early lows of 0.7507 and 0.7034.
European equities have extended opening losses in a session that has seen little by way of data or rhetoric so let's see what NA desks can bring to the party as markets continue to second-guess the Fed after the FOMC Minutes.
