- Golden week continues with Tokyo still closed
- Australian building approvals +3.5%
- Talk that 10 of 19 stress-tested banks will need capital infusions
- RBA leaves rates unchanged at 3%
Holidays around the region ensured that markets remained very quiet. EUR/USD opened at 1.3390 and spiked early to 1.3440 as weak stops were triggered. Technical resistance at 132.85/00 in EUR/JPY attracted some decent selling interest and this managed to cap the EUR/USD. Most of the JPY crosses fell as talk intensified of stress-tested banks needing more capital. The RBA left Australian rates unchanged at 3%, as expected.
Regional stock markets gained around 0.5%, with Shanghai adding just over 0.4%. Gold is steady at $902/oz.
Ranges: EUR/USD 1.3357/1.3437; USD/JPY 99.63/96; AUD/USD .7380-.7426; EUR/JPY 131.81/132.70; Cable 1.4985/1.5047;
EUR/USD sell orders are seen at 1.3480/00 and buy orders at 1.3320/30. Technical support/resistance in the EUR/JPY is at 131.30/133.00. Buy orders in USD/JPY at 98.50 and sell orders at 99.10/20.
