Forex trading headlines from the European morning session 10 Oct
News:
- “Mr Yen” says weak JPY is no longer a plus for the Japanese economy
- ECB’s Hansson says its premature to introduce further monetary policy measures
- German govt to cut GDP forecasts for 2014 and 2015
- Rumour doing the rounds that Portugal is set to get a ratings upgrade – Livesquawk
- Greece’s recovery continues to stutter as industrial production falls
- EBA will publish stress test results 10 am gmt Sunday October 26th
- BOE reveals Scottish war room details
- Winter to support oil prices says OPEC
- Russia, Ukraine and EU to have gas talks on Oct 21
- UK bye-election review: UKIP has a great night but does it signal a new dawn ?
- Is this the real stock market correction we’ve all been waiting for?
Data:
- UK trade balance Aug GBP -1.917bln vs – 3bln exp
- August 2014 UK construction output -3.9% vs 0.5% exp m/m
- French industrial output Aug mm 0.0% vs -0.3% exp
- Italian industrial output Aug mm +0.3% vs +0.5% exp
- Japanese consumer confidence index Sept 39.9 vs 41.8 exp
- Nikkei closes down -1.15% at 15300.55
Another lively session that eventually kicked into gear after a very quiet start has seen the greenback still in favour but also with yen and swiss appreciating overall and capping their core pairs.
European equity markets have been on the back foot and so have GBP and EUR with cable eventually falling to 1.6037 lows from a 1.6125 start and EURUSD posting 1.2650 from 1.2710 with EURGBP on a steady grind higher to 0.7895.
The pound’s negative sentiment has been exacerbated by the bye-election victory by UK but that’s not been the only reason in what has been a general USD-positive but mixed session.
That said we’ve also seen JPY and CHF buying with USDJPY first rising to 108.15 from 107.70 only to fall back to 107.75 on cross-pair selling as I type, with USDCHF also capping at 0.9570 dragging EURCHF down to 1.2087 and GBPCHF to 1.5316
USDCAD climbed to 1.1224 from 1.1185 only to fall back to 1.1192 while AUDUSD punched through bids at 0.8750 to fall sharply to 0.8705 and with little bounce so far. NZDUSD has also fallen from 0.7870 and based at 0.7805.
Interesting moves and I’m sure there’s more to come before the week-end arrives.
