Forex news from the European morning session 8 Jan
News:
- PBOC to maintain prudent monetary policy
- ECB's Lane says more QE can be used if data flow warrants
- Cameron unlikely to hold EU referendum before September
- BOJ's Kuroda says Japan still half-way to meeting price target
- Japan's Abe says recent stock market falls reflect concern over China and Middle East
- SNB says it expects annual loss for 2015 of CHF 23bln
- Chinese equity markets close in positive territory
- Merkel and Draghi to hold talks next week
- EU's Juncker to hold talks with Merkel next week
- What numbers are the best NFP pickers going for today?
- Australian foreign reserves Dec AUD 67.4bln vs 68.2bln prev
- Kiwi and Aussie $ still on the back foot ahead of NFPs
- Option expiries 10 am NY cut 8 Jan
Data:
- November 2015 UK visible trade balance -10.64bn vs -10.50bn exp
- Germany industrial production Nov mm SA -0.3% vs +0.5% exp
- Switzerland CPI Dec mm -0.4% vs -0.3% exp
- Swiss unemployment rate Dec SA 3.4% as exp
- Italy Q3 2015 public deficit to GDP ratio 2.4% vs 2.3% Q3 2014
- Japan Leading Index CI Nov flash 103.9 as exp
- Nikkei 225 closes down -0.39% at 17,697.96
No surprise that the US NFPs have taken most of the sting out of markets this morning but that's been helped along by Chinese markets pausing for breath
EURUSD had an early test of 1.0850 before then having a look at 1.0900 and been pinned between the two since while GBPUSD failed into 1.4625-30 and posted 1.4595 as I type
USDJPY has had a quiet time of it since the Asian surge from 117.65 on the back of firmer Chinese markets to 118.60 and has traded 118.20-50 since.
USDCAD has found support into 1.4075 with offers feature above 1.4125 as oil first rose then fell with Brent crude lows of $33.71 and WTI $33.14
USDCHF and EURCHF have made solid gains helped along by softer CPI data
AUDUSD and NZDUSD have both been on the back foot as traders anticipate further Chinese fall-out and USD+ sentiment post-NFPs at 13.30 GMT
We haven't got too long now until we find out.
