- Japan Q2 GDP +0.9%.
- Yoshimasa says Japan growth may exceed Goverment’s estimate.
- NZ services industry expands, fisrt in 16 months.
- European Inv Bank seen selling USDJPY.
- Nikkei sold off , down 2.65% at the moment.
- Shanghai composite down thru 3000 level, off 3.3%
- Gold slightly lower at 944.00
Not much in the way of data today and with some Japanese players still on holidays, it made for some skiddish stoploss moves. Japan Q2 GDP was a touch lower than expected, with analysts remaining sceptical to a sustainable recovery, especially once the effects of the government’s stimulus measures wear off. A European Inv Bank was seen leaning on USDJPY early morning, above 94.80 preventing any chance for a move up thru 94.00. Once an initial up tick after the GDP number was released, USDJPY and EURJPY moved lower. Demand at the fix was negligible as both pairs continued their slide lower. EURJPY took out stops below 134.10 and inturn EURUSD stops were triggered below 1.4150. USDJPY has held this afternoon above 94.40 were traders report some buying but emphasis has been clearly on the sell side today. Asian stockmarkets are notibly lower today, with the Nikkei down 2.7% and the Shanghai composite down 3.3%, down thru the 3000 level.
AUDUSD took a knock lower, down thru stops at 8270 and onto 8220 as AUDJPY longs exited after the fix thru 77.85, the previous low. With the Shanghai composite taking another beating, traders looked to cut risk today, especially in AUDJPY, GBPJPY and NZDJPY.
Ranges:
EURUSD 1.4138 – 1.4194
GBPUSD 1.6435 – 1.6518
USDJPY 94.44 – 94.86
EURJPY 133.59 – 134.51
AUDUSD 8216 – 8315
Goodluck,
Sam