Forex trading headlines for Asia Monday 14 April 2014
- Draghi repeats that ECB are increasingly concerned about exchange rate impact
- SNB’s Jordan says Swiss inflation still very low
- Ukraine forces in a bid to take back seized police station in Slavyansk
- Ukraine suspends gas payments to Russia until talks conclude
- Federal Reserve Stein: Financial stability should be an aim of U.S. central bank policymaking
- ECB’s Coeure said the European Central Bank is ready to make asset purchases to counter low inflation
- Ukraine’s central bank head Kubiv says Russia’s incursions in eastern Ukraine create macroeconomic risks
- New Zealand March services PMI: 58.3 (vs. 53.1 prior)
- UK data – Rightmove House Price Index for April: 2.6% m/m (prior was +1.6%)
- Singapore: Q1 GDP grows annualized 0.1% q/q (vs. est. 0.4% gain)
- Another Chinese province plans loosening housing purchase curbs
- PBOC Vice-Governor Yi Gang: China has taken effective measures to counter economic risk
- Britain’s U.N. ambassador: Well-equipped Russian troops mass near Ukrain border
- China’s Vice-Finance Minister Zhu Guangyao: Government won’t roll out major stimulus measures
- Japan chief cabinet secretary Suga: Comments on planned meeting between Abe and Kuroda
Draghi’s comments over the weekend (see bullets, above) saw the euro open with a gap lower in Asia today. GBP and CHF (comments from the SNB’s Jordan, above) weakened too, but not to the same extent. The gap lower in early New Zealand was recovered for GBP/USd and nearly so for the CHF against the USD, but EUR/USD found resistance above 1.3850, which held it below there and in a tight range as I wrote.
USD/JPY was choppy, but the range remained limited, offered around 101.65 and bid 101.40.
Kiwi and AUD were little more active. the NZD/USD confined inside a 20-point range, while AUD/USD found support around 0.9375 which took it briefly above 0.9405. It was choppy (but the range was not great), trading back toward 0.9385 and then approaching 0.94 again.
