Forex news and economic data wrap 14 September 2016
BOC's Wilkins: Canadian rates are already quite stimulative
ECB will find the instruments if more action is needed says Knot
Money from QE is not reaching the economy says ECB's Rimsevics
ECB's Knot: Monetary policy can buy time but other actions are needed
BOJ may debate deepening negative rates - Reuters
Greece set to disappoint investors again over reforms
September 2016 Swiss ZEW investor sentiment 2.7 vs -2.8 prior
July 2016 Eurozone industrial production -1.1% vs -0.9% exp m/m
August 2016 UK Claimant count 2.4k vs 1.8k exp
AUDUSD orders 14 Sept
EU's Juncker says Eurozone countries saved EUR 50bln this year thanks to the ECB
Trading ideas - European session 14 Sept
Yen weakens on reports that some BOJ members favour further easing
France CPI August final mm +0.3% as expected
Eurostoxx 50 futures up +0.5% in early European trading
Bank of Greece governor Stournaras calls for lower primary budget surplus targets
Data coming up in this session 14 Sept
Japan data - July Industrial production (final): -0.4% m/m (flash was 0.0%)
There's not a day goes by now without something popping up from the BOJ (or the Fed for that matter) that doesn't move prices. You can't say we didn't warn you some time ago. This is like watching a hurricane approach land and wondering how big and how much of a mess it's going to leave when it hits. Well, this one is due to hit next week and by the way things are going this expectation storm is building up day by day. Even as I type this, this pops up;
All that relates to volatility in yen pairs and USDJPY has come off the Asia highs at 103.36 to post a new low (as I type) of 102.43.
The yen is where that action has been all day as there's very little to write about in other pairs. EURUSD has had a 25 pip range, GBPUSD virtually ignored the UK labour data to maintain it's 35 pip range. That was a small surprise as you might have thought that the pound would have reacted favourably to the fact that the jobs market didn't collapse in the month after the Brexit vote. How views have changed eh?
There's more a sense of calm in other markets. European stocks have been pretty quiet, as have oil markets. USDCAD is still looking bullish but is struggling at the recent highs around 1.3180. AUDUSD has settled somewhat after breaking the final support at 0.7480 yesterday.
There's no denying that a lot of the moves we're seeing are directly or indirectly attributable to both the big BOJ and FOMC meetings next week. Before we get there though, we do still have the BOE tomorrow, so that's something for pound traders to possibly get their teeth into.
The US calendar is light for the third day this week so apart from import/export prices at 12.30 GMT, players will have to get their ideas from elsewhere.
