Trial now
JPY

BoJ Decision, Japan's Retail Sales Eyed

JGB TECHS

(Z1) Downside Pressure Resumes

AUSSIE BONDS

Early Vol. Observed In YM

US TSYS

Flat Restart After Aggressive Twist Flattening

FOREX
FOREX: Another day, another YTD low in GBP/USD
-After a somewhat quieter Asia-Pac session, USD was in demand in early Europe,
lifting the greenback toward the top of the G10 leaderboard, losing out only to
the JPY and NZD. USD/JPY dropped below the Y111 handle and yesterday's low with
little difficulty, and now eyes a close below the 50-dma at Y110.85 and the July
31st low of Y110.75 for clues on any further downside.
-The mix of USD strength and further Brexit pessimism (UK press today focuses on
potential Conservative leadership contest as well as the prospects for a 'no
deal' outcome in Brexit negotiations) has sent GBP/USD to fresh YTD lows but so
far the $1.29 handle has held. Support below $1.29 begins to kick in at around
$1.2850.
-NZD is the second best performer among the majors as the RBNZ 2-yr inflation
expectation metric was revised higher, allowing NZD/USD to clear resistance
ahead of Tuesday's high and prompting a brief break below NZ$1.10 in AUD/NZD.
-Once again, the data calendar is light and attention turns to a speech from
Fed's Barkin and the RBNZ rate decision at 2200BST.
MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com
MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com