- Regional equity markets rise by 2.5% on average
- China state fund buying Chinese banking stock, in another boost to risk sentiment
- FinMin Azumi: EZ stability will halt Yen rise
- Japanese current account surplus Yen408 billion
- Australian business conditions improve in September
- UK economy: BCC survey showing worrying signs; BRC retail sales +0.3% YoY
- South Korean PPI +0.1% MoM, down slightly from August
Another very quiet session in Asia with risk sentiment remaining strong in the equity markets but the FX market showed little or no reaction.
All of the EUR/USD volatility happened yesterday during European trade and since then the pair has consolidated in a tight 40 pip range between 1.3620/60. Technical resistance is still eyed at 1.3680/90 and stops can be expected above this level. Range 1.3618/53
AUD/USD has seen a slightly bigger range but has also been relatively quiet just below parity. Real money sellers have been selling into rallies but dips are still attracting plenty of short covering. Range .9952/1.0003
Cable has had a soft tone after some poor BCC survey data and the market is also eyeing large stops in EUR/GBP, starting above .8800. Cable range 1.5615/60, EUR/GBP .8701/26
USD/JPY has had another paltry 76.59/75 range but there’s talk of large stops building below 75.90.
USD/CHF .9028/52.
