Forex trading headlines from the European morning session 23 January
- Eurozone Markit flash mftg PMI Jan 53.9 vs 53.0 exp
- German Markit flash mftg PMI Jan 56.3 vs 54.6 exp
- French Markit flash mftg PMI Jan 48.8 vs 47.5 exp
- Swiss authorities act to cool down the housing market
- UK CBI distributive trades survey Jan +14 vs +25 exp
- China’s Premier Li says China facing “severe situation” in 2014
- BOE’s Fisher says MPC “some way off” from raising interest rates
- Spanish unemployment rate Q4 2013 26.3% vs 26.0% exp
- Eurozone current account sa Nov EUR+23.5 bln vs +22.5 bln prev
- Italian non-EU trade balance Dec EUR +3.425 bln vs +3.167 bln in Dec 2012
- EU’s Rehn urges Italy to speed up reforms
- Bank of Spain says that 2013 GDP contracted by 1.2%
- China’s 2013 fiscal revenues up 10.1% y/y
- French business climate Jan 100 as exp/prev
- Cypriot 2013 GDP forecast marked up to -5.5% from -7.7%
- Troika wants more data before returning to Greece
- Nikkei closes down 0.79% at 15,695.89
- Shanghai comp index closes 0.47% down at 2042.18
A busy session that saw early euro demand acclerated by stronger than expected flash PMI data and the swiss franc surge on moves to tighten liquidity to cool the housing market.
EURUSD has risen from 1.3570 to take out longstanding offers and trigger stops to 1.3646 so far dragging EURGBP to 0.8220 from 0.8175 after the pound lagged behind given its own surge yesterday.EURJPY has risen through 142.00 to post 142.41 only to retreat at USDJPY falls back to 104.07 from 104.40
EURCHF fell to 1.2305 from 1.2345 and USDCHF plummeted to 0.9020 fr0m 0.9112 as the Swiss govt raised the capital buffers of banks in a bid to dampen the strong housing sector.
GBPUSD has posted 1.6616 highs matching those last seen in 2011 but we’ve seen some GBP weakness as other currencies enjoy their day in the sun, apart from ironically, the aussie $
AUDUSD failed to garner any support from the USD weakness elsewhere and instead was sold on the cross plays down to 0.8780 from 0.8815 and then again later in the session to 0.8764 on renewed concerns over China.Strong barrier option support remains at 0.8750.
The loonie has failed to find any support after the post-BOC drop and has posted 1.1174 before retreating on a bit of profit-taking after the rapid moves.
Loads going on and little correlation but there’s opportunity galore.