Spetember 14, 2017
As the North American traders enter for the day, the GBP is continuing its surge after the BOE hawkishness yesterday. The pound is the strongest currency. The weakest currency is the JPY as N. Korea missile launch led to a different reaction (on a delayed basis - or so it seems). GBPJPY is on a moon mission. It is up 2.27% on the day.
The volatility is certainly up for the JPY and GBP pairs. The GBPUSD has a range of 234 pips (up 174 pips from the close). As mentioned, the GBPJPY is on the move. It has a nearly 500 pip trading range, and is higher on the day by 335 pips.
Technically, the GBPJPY cracked above the November 2016 high, broke and moved away from the 100 week MA at 149.248 and is moving up toward the 38.2% of the move down from the 2015 high at 151.818 (the high reached 151.54 so far). The pair is breaking out of the sideways up and down.
A snapshot of other markets shows:
- Spot gold is down -$5.38 to $1324.43
- WTI crude oil is up $0.16 to $50.05. The high extended to $50.13. The low $49.41
- US yields are modestly higher. 2 year 1.3782%, up 1.6 bp. 5 year 1.795%, up 2 bp. 10 year 2.1987%, up 1.4 bp. 30 year 2.77%, unchanged
- US stock futures are modestly lower. S&P futures are down -2 points. Nasdaq futures are down -4.5 points and Dow futures are down -5 points.
Retail sales and empire manufacturing at the bottom of the hour.
