13 Feb 2015
Asia Recap: Broad-based USD weakness
FXStreet (Bali) - Late Asia broad-based USD weakness was the main theme, with the currency extending further the losses seen on Thursday, on the back of much weaker-than-expected US retail sales/job claims data.
The G10 FX complex was stronger against the US Dollar, which continues to trade on a soft tone as USD longs run to the exits ahead of the weekend following dismal US data on Thursday, allowing the short term sentiment to turn clearly USD negative.
AUD/USD retested US highs at 0.7780 (even breaking higher as I type), with much-awaited comments by RBA Governor Stevens the House of Reps Committee not providing further insights; the market actually perceived the absence of any new dovish wording on either monetary policy or the Australian Dollar value as AUD positive.
USD/JPY saw a sharp decline in late Tokyo, with the Nikkei 225 down over 0.5%, which coupled with the loss of 94.00 in the Dollar index (DXY) exacerbated the pain for USD longs. EUR/JPY remains in range between 135.10/15 and 136.00. NZD/USD tested offers at 0.7450 after the strong spike to 0.7483 in the last US session. EUR/USD made fresh highs for the week at 1.1430, breaking last day's high at 1.1423.
Main headlines in Asia
RBA Stevens: monetary policy still has capacity to give additional support to economy
RBA Stevens: Nothing earth shattering so far...
RBA Stevens: Unwise to react too strongly to one unemployment number
RBA Stevens: A$ more or less doing what we expect it to do
Behind Yen shorts flush out, BoJ headlines put in perspective
RBA Stevens: Productivity growth has started to improve
Japan Foreign investment in Japan stocks fell from previous ¥-104.8B to ¥-477.1B in
Japan Foreign bond investment fell from previous ¥675.2B to ¥199.5B
RBA Stevens: Enough spare capacity to grow above trend for couple of years
ABS chief David Kalisch: Don't take the employment numbers too seriously
RBA's Stevens: Australia businesses have significant lack of confidence
China CB Leading Economic Index fell from previous 1.1 to 0.9 in January
The G10 FX complex was stronger against the US Dollar, which continues to trade on a soft tone as USD longs run to the exits ahead of the weekend following dismal US data on Thursday, allowing the short term sentiment to turn clearly USD negative.
AUD/USD retested US highs at 0.7780 (even breaking higher as I type), with much-awaited comments by RBA Governor Stevens the House of Reps Committee not providing further insights; the market actually perceived the absence of any new dovish wording on either monetary policy or the Australian Dollar value as AUD positive.
USD/JPY saw a sharp decline in late Tokyo, with the Nikkei 225 down over 0.5%, which coupled with the loss of 94.00 in the Dollar index (DXY) exacerbated the pain for USD longs. EUR/JPY remains in range between 135.10/15 and 136.00. NZD/USD tested offers at 0.7450 after the strong spike to 0.7483 in the last US session. EUR/USD made fresh highs for the week at 1.1430, breaking last day's high at 1.1423.
Main headlines in Asia
RBA Stevens: monetary policy still has capacity to give additional support to economy
RBA Stevens: Nothing earth shattering so far...
RBA Stevens: Unwise to react too strongly to one unemployment number
RBA Stevens: A$ more or less doing what we expect it to do
Behind Yen shorts flush out, BoJ headlines put in perspective
RBA Stevens: Productivity growth has started to improve
Japan Foreign investment in Japan stocks fell from previous ¥-104.8B to ¥-477.1B in
Japan Foreign bond investment fell from previous ¥675.2B to ¥199.5B
RBA Stevens: Enough spare capacity to grow above trend for couple of years
ABS chief David Kalisch: Don't take the employment numbers too seriously
RBA's Stevens: Australia businesses have significant lack of confidence
China CB Leading Economic Index fell from previous 1.1 to 0.9 in January