- Nikkei rallies from -1.25% to positive after likely BoJ actions
- China/US talks amicable but no firm conclusions
- US/Japan leaders meet but intervention not discussed
Japan returned to the financial markets but other centres like China remained closed. Most focus was on Washington talks between the US and both China and Japan but there were no important developements. The market then livened up late with the BoJ intervention.
USD/JPY spent the first 7 hours drifting aimlessly in a 15 pip range until the BoJ intervention saw it spike from 84.55 to 85.20 in 1 minute. Range so far: 84.38/85.38
EUR/USD rose just after the NY close on some model fund buying but then fell on the Nikkei open as traders reacted to a lower sharemarket. The traditional risk-trades did not want to continue falling today though and it was the USD that suffered especially against the EUR and the AUD. Ranges: EUR/USD 1.3288/1.3355
The AUD/USD followed a similar path to the EUR/USD and stalled on the sell-off as strong bids at .9465 again supported. Ranges: .9464/.9520
EUR/GBP has oscillated around .8500 and talk of option expiries there tonight suggest that the market will range either side of there until the options roll off. Ranges: Cable 1.5662/97, .8483/.8512
