- China consumer prices fell 1.5% YoY
- Bank stress tests were modified in compromise agreement
- Australian business conditions index +7 points
- HSBC results expected today
Typical post-payroll Monday with almost all pairings returning to their opening levels. Stops in EUR/USD above 1.3650 were triggered in very early trade as it traded to a high of 1.3665. Reports of possible poor earning results from HSBC sent the JPY crosses lower during the morning but the appetite for new position taking was low. EUR/USD revisited the high later in the session but was unable to break higher. Trader stops are now building above 1.3680. EUR buying was also evident against both the AUD and the GBP. USD/JPY tried to trigger stops below 98.00 but momentum was not strong enough and shorts have covered as the day progressed. AUD/USD saw some good selling interest at .7720 and further offers are staggered up to .7800.
Ranges: EUR/USD 1.3618/67; Cable 1.5194/1.5246; AUD/USD .7652/.7713; USD/JPY 98.18/82; USD/CHF 1.1023/63; EUR/JPY 133.94/134.81
Markets: Shanghai +0.4%, HK +1.7%, Nikkei +0.1%. Gold +$1 at $916/oz. Crude unch. $58/bbl.
Orders: Sell orders in AUD/USD between .7720/.7800, supposedly quite heavy at times; trader buy-stops in EUR/USD above 1.3680;