- Australian unemployment rate 5.1% as expected, economy creates 56k new full-time jobs
- Chinese Premier continues to warn against Yuan pressure
- Japans foreign reserves reach new record high
- World bank weighs into ‘currency wars’ debate
- Regional stockmarkets flat on the session
- Gold rallies late in the session, now above $1353/oz
The AUD has again been the most volatile currency after better than expected jobs data forced more short covering and triggered stops above an option barrier at .9800. The high on the day has been .9844, just below the post-float (1983) high which was at .9849 in mid-2008. More barriers are spied there as isn possible RBA intervention but a clean break above .9860 will see more heavy stop-losses triggered. Range: .9758/.9844
USD/JPY has been supported by buying from US real money funds and from Kampo but the bounces have been pitiful. Range: 82.84/83.02
EUR has been relatively quiet. It had a very bullish technical close in NY above its 200-week MA but Asia was unable to add any momentum. A brief sell-off inspired by EUR/AUD selling also failed to maintain itself and we close near where we started at 1.3920. Ranges: EUR/USD 1.3899/1.3936, EUR/CHF 1.3382/1.3406
Sterling has also been quiet. EUR/GBP enjoyed a strong rally overnight but some good offers at .8780 have dissuaded the Asia market from trying for higher. Ranges: Cable 1.5848/97; EUR/GBP .8765/79
