Forex trading headlines for Asia Wednesday 8 October 2014
- Federal Reserve Kocherlakota: Falling unemployment no reason to raise rates and more here
- Nikkei: Debate over another consumption tax hike is intensifying
- Bundesbank President Weidmann criticizes European Central Bank’s stimulus measures
- UK BRC Shop Price Index for September: -1.8% y/y (prior was -1.6%)
- Securities Journal: PBOC may expand targeted rate cuts
- Japan current account balance data for August ¥ 287.1B (expected ¥ 200.0B)
- Australian Bureau of Statistics to change seasonal adjustment of monthly labour force estimates and more here and Westpac’s view here
- China – HSBC/Markit Services PMI for September: 53.5 (prior 54.1)
- China Golden Week retail sales up 12.1% y/y – China Commerce ministry
The US-timezone move of a Strengthening EUR/USD continued into the early Asian session, with a new high (compared to the overnight) for EUR/USD. Cable didn’t fare quite so well, while the CHF got close. As the session progressed, though, a little USD strength came in across the board, EUR, GBP, CHF all turned around a little. The moves were not huge, but 50-odd point turnarounds or so are not be dismissed (at least for the shorter-term traders).
USD/JPY followed a similar pattern, with the yen gaining a little further compared to the overnight before turning around and approaching toward 108.50 EUR/JPY, though with a reasonable but narrower points range, wasn’t nearly so active.
Oil lost ground. Gold gained a few dollars net on the session, consolkidation around and then above 1210USD.
NZD and AUD were active, both weakening in line with the better bid for the USD. News impacting on the Australian market today of the Australian Bureau of Statistics saying they were going to have to revise the July and August jobs data. August data, in particular, was viewed as deeply suspicious at the time of its release … it seemed too good to be true and this was indeed confirmed today. Full details on what the Australian Bureau of Statistics has had to do in the bullets, above. Its going to make for a messy employment data release due tomorrow in Australia.
