ForexLive European morning news wrap: Risk-off sentiment dominates again

Author: Mike Paterson | Category: News

Forex news for the European morning trading on 9 Aug 2017



A busy session that initially saw some money coming off the table after yesterday's moves but risk-off sentiment was quick to return with CHF demand leading the way.

The pound felt the love early on with GBPJPY demand leading GBPUSD up to test 1.3030 offers/res from 1.2985 and EURGBP falling to test 0.9020 again.

Then it was all about Korea and risk-off again in a move that saw USDCHF drop sharply from 0.9680 to 0.9640 then again to 0.9612 with EURCHF tumbling to post 1.1271 from 1.1380.

USDJPY fell to lows of 109.65 after failing to hold above 110.00 and yen demand generally was in evidence with GBPJPY falling back to 142.60 from 143.35.

We've seen some correction though in the latter part of the session and USDCHF has been back above 0.9640 and EURCHF 1.1320 with USDJPY up around 109.85.

                                        EURCHF enjoying a lively session

AUDUSD held 0.7850 in the early AUDCHF and AUDJPY selling but has now rallied to 0.7890 as some money comes off the table.

USDCAD has had a quiet time of it between 1.2670-90 and NZDUSD has also been relatively quiet waiting on the RBNZ.

Equities opened lower and extended those losses with CAC40 and DAX leading the way. Gold was feeing the love though and tested $1270 from $1264.

Quiet slate data-wise it's been a quiet one but have US productivity and crude oil inventories to throw in to the mix later.