Forex news and economic data headlines 11 October 2016
News:
- BOE's Saunder says he would hesitate long and hard before giving BOE any say on fiscal policy
- Saunders says BOE MPC hasn't run out of easing ammunition yet
- More from Saunders: Would not be surprised if pound fell further given scale and persistence of current account deficit
- BOE's Kashyap says fall in GBP raises questions about funding mismatches and hedging
- More from Kashyap: Hard Brexit could see pound weaken a little more
- UK's Kirby says maintaining financial sector is an absolute priority for government
- Russia not currently considering cutting oil output
- Saudi energy minister says oil industry should always have spare capacity
- BP's Dudley sees oil prices stabilizing between USD 55-70 per barrel for rest of decade
- Rand tumbles again as Gordhan formally summoned
- South African NPA confirm Gordhan will appear in court on 2 Nov
- BOJ seen adopting more stimulus at January meeting or later - Reuters poll
- USDJPY running into sell interest around 104.00 again
- Option expiries for the 10 am NY cut today 11 Oct
- Nikkei 225 closes up +0.98% at 17,024.76
Data:
- Germany ZEW survey Oct current situation 59.5 vs 55.5 exp
- US small business optimism index Sept 94.1 vs 95.0 exp
- Japan economy watchers survey Sept current 44.8 vs 45.8 exp
A busy session that has seen some good two-way business but USD demand prevail as other currencies compete for the bottom prize.
USDJPY ran into sell interest around 104.00 again but has found support into 103.70 and with USDCHF still on an upward, recently SNB-assisted, path higher to 0.9880 from 0.9830 the tone has been set as we wait on US FOMC Minutes tomorrow.
GBPUSD had an early wobble again to 1.2280 after triggering stops through 1.2300 as EURGBP had a look above 0.9050 but fresh supply up there has seen a move down to test 0.9030.
That dip helped GBPUSD back above 1.2300 but comments from BOE bods saw it back in retreat and we've tested 1.2250 support/demand helped by the USD demand and EURUSD posting 2-month lows of 1.1075.
Elsewhere USDCAD has seen a steady climb to 1.3240 before running out of puff with AUDUSD and NZDUSD conversely adding to Asian losses and falling steadily posting lows of 0.7536 and 0.7057 respectively.
Equities have turned higher led by the weaker GBP fuelled FTSE and oil made a few early gains but has retreated as oil producing nation squabbles continue.
Nothing of note data wise but that's not going to reduce the opportunities as traders and markets continue to dance on hot coals.
