Forex trading headlines from the European morning session 31 July
News:
- Russian troops amassing on Crimean peninsula says Ukraine
- BOJ’s Kiuchi says side affects may appear if current easing prolonged
- Portuguese stock market taking a battering over Banco Espirito Santo
- Moodys cuts its outlook for Swiss banking system to negative from stable
- SNB posts Q2 profits of CHF 11.77 bln
Data:
- July 2014 eurozone HICP flash 0.4% vs 0.5% exp y/y
- June 2014 eurozone unemployment rate 11.5% vs 11.6% exp
- German unemployment change July -12k vs -5k exp
- Nationwide UK house price index m/m +0.1% vs +0.5% exp
- July 2014 Italian HICP flash 0.0% vs 0.2% exp y/y
- Italian unemployment June m/m 12.3% vs 12.6% exp
- German retail sales June m/m +1.3% vs 1.0% exp
- French PPI June m/m 0.0% vs -0.1% exp
- Italian June PPI +0.1% vs -0.1% prev
- May 2014 Spanish current account €-0.584bn vs €-1.6bn prior
- Japanese housing starts June y/y -9.5% vs -11.5% exp
- Nikkei closes down 0.16% at 15620.77
It’s been a varied session but the greenback still has a bid tone after the corrections seen in the wake of Yellen’s less than hawkish tones yesterday
Month-end flows, notably the usual EURGBP buying, as well as a continuing USD-positive sentiment have given us some decent moves this morning as GBPUSD got sold down to 1.6870 from 1.6903 ,exacerbated by weaker house price data. EURGBP has risen from 0.7914 to 0.7942 only to find some more offers as Eurozone CPI came in on the soft side again.
EURUSD has been caught in the cross play crossfire but it too has dropped to the 1.3380 support area from 1.3405 with EURJPY offers at 138.00 also adding some weight.
USDJPY had a little dip to 101.72 on a late Nikkei dip but since rallied to look at 102.90 again with fresh offers above 103.00 providing a cap while USDCHF has ground its way back higher to 0.9094 after Asian dip to 0.9077
AUDUSD got slapped through 0.9300 triggering stops to 0.9288 but has steadied since while NZDUSD has been on the back foot but steady around 0.8490. USDCAD has mostly had the morning off around 1.0910 with CAD buyers coming up against USD buyers.
US initial jobless claims coming up at 12.30 GMT but attention mostly on tomorrow’s NFP release as the guessing game continues.
