Forex news from the European morning session 2 June 2015

News:

  • EU's Moscovici says both sides in Greek talks have to make efforts
  • Greece is willing to make tough compromises says Tsipras
  • Greek govt says it has not received any text or document on proposal following yesterday's meeting of EU leaders, IMF, ECB
  • Greece says there is no room for more compromise from them
  • Greek central bank governor says electorate has become angry
  • More from Stournaras - Greek people have made a "huge sacrifice" to stay in Eurozone
  • Germany's Gabriel says consequences of a Greek bankruptcy would be "gigantic" for Europe
  • RBA announcement: No change
  • RBA statement today - Is there an easing bias, yea or nay?
  • PBOC's Pan says there are many uncertainties in the economy
  • EURGBP orders 2 June- Talk of additional month-end buy requirements
  • Sometimes trading the tech can be a thing of beauty
  • ForexLive update - Option expiries today 2 June

Data:

  • May 2015 Eurozone HICP flash 0.3% vs 0.2% exp y/y
  • Eurozone PPI April mm -0.1% vs +0.1% exp
  • May 2015 UK Markit CIPS construction PMI 55.9 vs 55.0 exp
  • Germany unemployment change May -6k vs -10k exp
  • UK mortgage approvals April 68.1k vs 63.5k exp
  • Spain May jobless falls by 2.72% mm
  • Greek mftg PMI May 48.0 vs 46.5 prev
  • Nikkei 225 closes down -0.13% at 20,543.19

It's been all about the euro this morning with AUD and GBP playing some decent cameos

Hopes of a Greek deal have risen as the session has gone on following last night's meeting between EU leaders, the IMF and ECB and we've seen the euro climb steadily after an early wobble

With Eurozone CPI back in the black it's been a morning of positives for the multi-ccy which has seen EURUSD rally from 1.0925 to 1.1050 wiping its feet at 1.1000 due to large option expiries but it's not been all one-way traffic

EURGBP caught an early bid on talk that the BUBA had more some buying to do after month-end and that capped GBPUSD at 1.5220 sending it down to test the bids/support into 1.5180 again.Decent data and USD supply provided enough momentum to send it higher again, even posting 1.5270 before capping once again as more EURGBP took hold to 0.7249 having dipped to 0.7195 after a first failure at 0.7230

Busy times all round and early door we'd seen AUDUSD rally above 0.7700 from 0.7630 on the RBA-unchanged news but good offers still into 0.7725 have kept further gains at bay

USDJPY posted lows of 124.42 having failed above 125.00 in Asia but has found cross related bids as indeed has USDCHF which has benefitted from EURCHF finally taking off out of its recent malaise to post 1.0388 as safe-haven plays lose their appeal

USDCAD has been caught up in the cross fire and drifted off to 1.2530 having capped around 1.2530

All eyes on Greece still as the will they-won't they saga continues.