Forex trading headlines for Asia Wednesday 14 May 2014
- RBNZ says house prices remain overvalued
- RBNZ’s Wheeler: Says rate rises will help damp house price inflation and more from Wheeler here and here
- New Zealand Retail sales (ex. inflation) for Q1: +0.7% q/q (vs. expected +0.9% q/q)
- Japan data – Domestic CGPI m/m for April: +2.8% m/m (vs. expected 2.8%)
AUD/USD found persistent buying support through the session, with buying from a few sources. It approached overnight highs and stabilised for about an hour or so without any meaningful price pullback and then moved more quickly toward 0.9400. Perceptions of the budget in the market today were largely ‘as expected’ and its an unknown that has now been removed.
NZD/USD was active early, with comments from RBNZ governor Wheeler in a press conference and then later in front of a parliamentary committee. There was a (very) quick spike toward 0.8600 but that was bought back rapidly, the NZD spending the rest of the session trading higher to get above 0.8650.
GBP was bought throughout the session too, ahead of the Bank of England Inflation Report and schedule comments from Governor Carney later (0930GMT), preview here.
EUR didn’t let the team down today, while the range was small it at least had one in this timezone, ticking up from sub 1.3700 to around 1.3715 as of typing. There was no fresh news in the market.
EUR/JPY made an attempt at trading below 140.00 but there was no follow through lower. The bounce, so far at least though, has been very limited. USD/JPY had a small range, heavy on the session ticking quietly lower to lose around 12 points.
