ForexLive Asia FX news wrap: AUD surges above 0.6900

Author: Eamonn Sheridan | Category: News

Forex news for Asia trading Wednesday 3 June 2020 

There was USD weakness pretty much across the major FX board here during the Asia session, with the Australian dollar a star performer. Big AUD/JPY buying was seen out of Japan early in the piece, driving the cross over 75.70 briefly and AUD/USD above 0.6980 for huge gains. There has been some pullback as I update. EUR, GBP, NZD, CAD all followed a similar path, higher then some pullback.

News flow was light but we did have some data. Of minor note were the PMIs from Australia, both awful, and similar from Japan.

The China services PMI jumped more than 10 points.

Of more focus from Australia today were the building approvals data for April, not as bad as expected, and the Q1 GDP report, similarly not as bad as expected. Building approvals are expected to languish in the months ahead though. And as for GDP, while the Q1 was not as bad as projected Q2 will be much, much worse than Q1, it will capture a more prolonged period of lock down for the country and across the economy.

But ... as you can see from the opening lines to this post none of it mattered to the Australian dollar. Huge move for it here today (and others too). The Australian dollar has been strong for weeks now and those following along with the 'trend is your friend' advice (for this and other 'risk' assets) will be seeing its value.

Forex news for Asia trading Wednesday 3 June 2020 

Oil, too, higher for the session. Early inventory data gave it a pop and it never looked back. 

By continuing to browse our site you agree to our use of cookies, revised Privacy Notice and Terms of Service. More information about cookiesClose