Forex trading headlines for Asia Wednesday 23 July 2014
- Nikkei headline: Abe advisers urge an initial 2% corporate tax cut and more here
- US intelligence believe pro-Russian separatists in Ukraine probably shot down Malaysian plane
- New Zealand – “Shadow Board” endorses RBNZ raising interest rates tomorrow – but it’s a close call
- Bank of England’s Fisher defends BOE QE
- Bank of Japan deputy governor Nakaso: BOJ easing having intended impact and more here
- Australia – Q2 CPI: +0.5% q/q (vs. +0.5% expected) and analyst responses here
The yen found a little strength on the session today after weakening early to above101.50 against the USD. USD/JPY dropped around 15 points from the high, EUR/JPY also down around 15 points or so (a little more) from its highs. There was little to zeor in the way of news or data events.
EUR/USD came off about 12 points from its highs (EUR/AUD sellers around after the Aussie CPI), cable edged a little higher. USD/CHF was basically flat.
USD/CAD a few pips lower.
Meanswhile, AUD had a weakish start, drifting down toward 0.9380 ahead of the main data event of the day, the CPI release. A hotter than expected ‘trimmed mean. (the figure the RBA pays most heed, (see bullets, above)) saw the currency immediately marked higher and sustain its gains around 0.9430 (as of writing).
NZD followed suit, gaining to above 0.8680 ahead of tomorrow’s RBNZ announcement.
Aussie stocks hit a 6-year high before the CPI announcement today; the S&P/ASX 200 year to date climb of 4%.
Gold was range-bound. Oil found a little buying for a tiny bounce on the session.
