Life can be very confusing at times. Seems to have been lots of Asian sovereign activity this morning.
This is what I’m hearing.
China sold EUR/USD early, seemingly responsible for knocking it below 1.4400.
Then an Asian sovereign reportedly bought EUR/USD around 1.4383/88. Now it’s either another Asian sovereign, or it’s China taking profit. The second scenario doesn’t really bear (get it) thinking about. A jobbing great panda would cause havoc.
China is also reported to have been a seller of cable this morning, probably up around 1.6930/40 I would guess.
Despite all the reports both EUR/USD and GBP/USD aren’t doing that much. EUR/USD at 1.4385, cable at 1.6925.
