• Timing of stimulus withdrawal will be difficult decision, guided by inflation outlook
• Range of evidence that QE having desired impact, but still long way to go
• Much of impact of QE purchases yet to feed through, we’ll know more over coming year
• Tentative signs that nominal spending in economy is starting to accelerate
• When time comes policy could be tightened by rate hikes, asset sales in any order

MPC’s Dale is scheduled to give speech at 11:00 GMT.

Supporting the pairing is focus on next weeks March 16/17 BOJ meeting and possibility of more easing/support measures.  Bloomberg quotes two anonymous BOJ officials as saying central bank may seek to expand 10 trillon yen fund that provides loans to banks.

On the flip side, acting as a counter-balance, are  reports of ongoing fiscal year end repatriation flows.

Buy orders tipped at 90.00/20, small stops just below.  Sell orders layered from 90.80 up to 91.20.

Sounds like someone isn’t a member of the JM Keynes fan club…

The market has been working all week under the assumption that the BOJ will expand at either the march or April meeting…USD/JPY is steady at 90.50.

The SNB sounded similar themes earlier in the day but reiterated its intention to defend against a strengthening franc.

EUR/CHF trades at mid-range, now at 1.4615. It has spent the day between 1.46 and 1.4630…

Sounds like she is from the “show-me” state of Missouri rather than Austria…

Beware a squeeze higher should the SNB come in and inflict pain on these fresh shorts.

We trade at 1.4622, having been as high as 1.4230 after the SNB held rates steady and said they would continue to keep the franc from strengthening.

To counter excessive rise in swiss franc vs euro decisively.

Just ahead of announcement was getting reports SNB had been bidding 1.4605 on EUR/CHF and raised their bid to 1.4612.  I take it’s on the EBS platform. We sit presently at 1.4615.

Sterling has had a decent morning, cable up at 1.5045 from early 1.4985, while EUR/GBP is down at .9075 from around .9105.

Can’t see that there was particularly any new news.  Cable dipped early to session low 1.4948 before bouncing. Reports soon circulated that a US custody bank was in buying and we were off to the races.  Stops tripped on move above 1.5000 and again through 1.5030 and 1.5040 on way to session high 1.5062 before settling back.

A UK clearer was a notable seller of the EUR/GBP cross early. It was a different clearer to the one seen selling up above .9100 yesterday and a different one from the one recently noted buying 6month 1.4400 cable puts. The second part makes sense, I guess. Stops were tripped through .9090 on way to session low .9062 before slight recovery.

EUR/USD sits at 1.3655, very little changed on the day.  The pairing has seen price action confined to a narrow range with no clear direction evident.  Talk of buy orders down at 1.3600/20, small stops below.  On topside, sell orders layered from 1.3670 up to 1.3705.

USD/JPY little firmer at 90.65 from early 90.35, with yen weak on the crosses. This comes despite talk of ongoing fiscal year end repatriation flows and worries China is about to hike rates/withdraw stimulus (which could cause risk aversion to spike.) Seems alot of focus on next weeks BOJ meet on March 16/17 and possibility of further monetary policy easing.

Any further percieved, or actual, softening in tone would likely see 1.4600 in EUR/CHF  give out in double-quick time.

Cable extending rally to 1.5000 at writing. As mentioned earlier those US custodials can be lumpy.

Meanwhile UK clearer reportedly selling the EUR/GBP cross, which is down slightly at .9100. Funnily enough there were reports yesterday of a different clearer selling the cross around same levels (ie .9110/20). Both these clearers are different from the UK clearer said to have been recently buying 6month 1.4400 cable puts. Which would kinda make sense I guess.

Swiss National Bank is said to be sitting on the bid in EUR/CHF at 1.4610.

I think I might go back to bed for a few hours kip. Boring, I should coco.