Forex trading headlines for Asia Thursday 25 September 2014
- Japan services PPI: +3.5% y/y (expected +3.7%)
- UK PM Cameron: Recalling parliament on Friday to secure approval for Britain to take part in airstrikes
- More on PBOC head Zhou rumours: “Were Guo to be appointed … expect continuity in the bank”
- Australia – August job vacancies: -0.7% q/q (prior was +2.5%)
- NZD sold hard on RBNZ Wheeler – Welcomes move to more sustainable exchange rate
- ECB Draghi comments on the wires – ready to use additional measures
- China SAFE – comments on gradual FX liberalisation
- RBA Stevens: One area of concern is investor housing finance growth
The big mover on the day was the NZD, dropping to just below 0.8000 for the first time in … well, a long time, on the back of comments from RBNZ governor Wheeler in a written piece (see bullets, above). He hinted (again) at intervention and so forth and really sent a scare through NZD longs. The NZD/USd dropped 70-off points in quick time and sits, bounceless (is that a word?) around 0.8000 as I type.
The Australian dollar fell along with the Kiwi, though not to the same extent. RBA governor Stevens had some comments reported, too (see bullets, above).
EUR/USd tracked pretty much sideways in a barely discernable range until comments from ECB president Draghi crossed the wires. His comments were nothing new, but they knocked around 12 points or so off EUR/USD. It sits on session lows as of now.
USD/JPY tracked higher early in the session, but the selling ahead of 109.50 held it (and just above 30 was the high).
GBP and CHf – not much in the way of action to report, both marginally weaker. USD/CAD put on a decent range for the session, for a net climb of around 20 points.