The forex trading headlines for Asia trading today
- The Australian government announced a $12 billion government deficit is expected for the 2012/13 financial year
- UK: Lloyds April Business Barometer 27 (vs. 20 prior)
- UK: Hometrack April Housing Survey +0.3% m/m (vs. +0.3% prior)
- UK: Hometrack April Housing Survey +0.2% y/y (vs. +0.0% prior)
- The Greek parliament passed bills needed for further bail-out loans
- Yonhap News Agency says North Korea is preparing to conduct large-scale combined air and land exercises along its Yellow Sea coast, which may involve the launch of a missile or missiles
- The Wall Street Journal’s Hilsenrath wrote that inflation is now lower than the Fed wants
It was a Japanese and Chinese holiday today, ensuring little on the way of market-moving news and headlines. Nevertheless, there was some significant movement in the currencies.
GBP/USD continued devouring shorts, cracking 1.5500 on its way to the day’s high of 1.5520/25.
EUR/USD had a range bound session after getting above 1.3065 in the early New Zealand/Australia morning. It retraced all of its early gain then sat around 1.3045/50 for the balance of the session.
USD/JPY traded lower, breaking the US Friday session low to trade down to 97.35 before finding buyers again. Its a holiday week in Japan, so moves are likely to remain choppy.
AUD and NZD both found pre-FOMC support, both higher by 25-30 points on the day. Chatter is increasing about the potential for further RBA rate cuts over the next 12 months as the news flow continues to turn against the Australian economy. Yield-chasers didn’t seem to mind today, though.
