Forex news from the European morning session 10 June 2015

News:

  • BOJ's Kuroda says it's hard to see yen's real effective rate falling further
  • More from Kuroda: Excessive yen gains have been corrected
  • BOJ's Aso says they want to pay attention to fx market
  • Kuroda comments might have been distorted says Amari
  • BOJ's Sato says it's desirable for fx to reflect real economy
  • No progress has been made on Greek deal talks this week
  • ECB's Hansson says "things are moving in the right direction" on Greece
  • ECB's Likanen says QE is proceeding as intended
  • Goldman Sachs CEO Blankfein sees 2015 growth for US economy close to 3%
  • Nikkei plummets but finds buyers into 20,000
  • PBOC cuts 2015 GDP forecast to 7% from 7.1% prev
  • ForexLive Preview: Osborne set to take the spotlight at tonight's Mansion House speech
  • Option expiries 10am NY cut today 10 June

Data:

  • April 2015 UK industrial production 0.4% vs 0.1% exp m/m
  • French industrial output April mm -0.9% vs +0.4% exp
  • Italian industrial production April mm -0.3% vs +0.3%exp

It's been all bout the yen and euro this morning as Kuroda comment led to a rapid fall in yen pairs and the euro got pulled around by bonds

Early session comment by Kuroda on yen strength/weakness saw USDJPY fall from 124.40 in rapid time and having wiped its feet around 123.00 was testing 122.80 support then later 122.50. Yen pairs followed suit but there was a general USD sell-off which saw GBPUSD back up through 1.5400 and EURUSD past 1.1300

While this scenario was playing out bond yields rallied strongly with German 10s breezing through 1% and EURUSD posted 1.1386 in a rush dragging euro pairs with it. GBPUSD posted 1.5475 then capped

Then came a bond retreat and with it the euro and we're back down to 1.1290 as I type, with EURGBP falling to 0.7290 from 0.7365 highs which in turn has given GBPUSD push higher again to post session highs of 1.5489.

And the ride has been made even more bumpy by Amari saying that Kuroda's comments may have been misinterpreted and USDJPY made a rapid return to 123.30 from 122.60 but EURJPY has struggled to make ground as euro drops ever lower

AUDUSD posted 0.7786 in the early USD sell-off despite Stevens trying to talk it lower in Asia while USDCAD has continued to fall and tested 1.2200 with firmer oil prices helping the move

USDCHF fell early into 0.9230 bids but has since been back to test res at 0.9300 with EURCHF holding firm around 1.0480 after a fall from 1.0516

Crazy days are here again and they're not for the faint hearted