- Japanese unemployment rate rises to 4.6%
- Japan’s industrial output +4.0% YoY, better than forecasted +2.7%
- Japan January manufacturing PMI +50.7, up from 50.2 in December
- NAB measure of Australian business conditions rises slightly in December
- Greek PM wants PSI, new bailout deal by weekend
- UK consumer confidence improves in January
- China unlikely to cut RRR anytime soon- press reports
- IMF doesn’t see hard landing risks for China
- South Korean December industrial output +2.8% YoY, lower than expected
- Singapore unemployment rate unchanged at 2.0%
- Regional stocks +0.25% on average
- Gold $1736/oz; Oil $100/bbl
EUR/USD bottomed out in NY below 1.3100 and was in recovery mode by the time Asia opened. This recovery has continued, driven by trailing stop-loss buy orders with bearish USD/Asia sentiment adding to the cause. There have been no major news developments, with all of the EU summit headlines in the market during NY trade. Ranges: 1.3128/98
AUD/USD opened near 1.0590 and has also experienced short-covering similar to the EUR/USD. Chinese press reports that an RRR cut will be delayed have not affected the sentiment nor indeed has relatively poor South Korean IP data. Ranges: 1.0572/1.0645
USD/JPY has managed to stay below previous support at 76.50 and is gradually edging lower. There have been no comments from the MOF today.
Cable 1.5700/42; EUR/CHF 1.2042/58
