Forex news for Asia trading Friday 16 January 2015

No Swiss franc cap for you!

“No Swiss franc cap for you!”

The fallout from the SNB decision continued in Asia today

But, in other news:

It was pretty much all about the Swiss national Bank in the Asian timezone today.

Asia-Pacific currencies and bonds rallied

  • Australia’s 10-year bond yield fell below 2.5% … to its lowest ever and … get this … below the cash rate.
  • Meanwhile, in New Zealand, the 10-year yield fell 10bps to the lowest in 18 months.

The AUD/USD and NZD/USD both gained, the Aussie up more than 60 points from its session lows at one stage, while the kiwi was up a similar amount.

Equities across the region, though …. not so good. As of writing …:

  • Japan’s Nikkei 225 fell 3%
  • Australia S&P/ASX 200 down 1.1% (despite gold mining stocks jumping more than 6%)
  • Hong Kong’s Hang Seng down 0.5%
  • South Korea’s Kospi Composite down 1.3%

USD/JPY was volatile, dropping in the early going well below 116 but staging a comeback to tip 116.50 before retesting its lows. its mid range as I type now. EUR/JPY traded to a 3-month low in the early going bfore barely recovering.

EUR/USD and GBP/USD are barely changed on the session, up just a few points.

The CHF … yikes – it was wild … USD/CHF and EUR/CHF both traded in a more than 300 point range in the first hours I was in front of the ForexLive screens.