FREELAND: CANADA WON'T ESCALATE OR BACK DOWN ON US TRADE FIGHT

MNI: PBOC To Aim To Drive Inflation Higher- Advisors

MNI: China To Issue More Bonds As Stimulus Targets Consumption

MNI: PBOC To Aim To Drive Inflation Higher- Advisors

MNI: China To Issue More Bonds As Stimulus Targets Consumption

MNI BRIEF: China Nov M1 Decline Narrows, M2 Slows

EZ/UK T-Bill Calendar: 8/13/28/50-Week BTF Auction on Monday

EZ/UK Bond Supply Calendar: 4.125% Jul-29 Gilt Due on Tuesday

MNI: CANADA OCT WHOLESALE SALES +3.3%; EX-AUTOS +0.5%

MNI EXCLUSIVE: EU-Mercosur Deal Close, But Likely Short-Lived - Officials

AUSTRALIA: 2025 Election Outcome Looking More Uncertain According To Newspoll

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

Broad JPY Strength As Equities Give Up Gains

FOREX
  • The Japanese Yen firmed to start the week as US equity indices gave back earlier gains and risk sentiment soured, evident by the large move lower in crude futures.
  • The European session had been characterised by a slightly softer greenback. USDJPY (-0.42%) extended this weakness, resting just 20 pips shy of the July lows of 109.07.
  • The Canadian dollar traded heavily with the oil move, however G10FX lacked any momentum in a lacklustre Monday session. CADJPY had the most notable swing, retreating 0.7%.
  • Despite the souring sentiment, potentially fuelled by an uptick in geopolitical risk stemming from headlines concerning Iran and Russia, there were significant moves higher for some emerging market currencies. USDTRY and USDZAR both receded over 1% while the Brazilian Real advanced 1.35%, retracing a good portion of Friday's move lower.
  • Additionally, the Australian Dollar was resilient, rising 0.3% to $0.7365. This comes ahead of the RBA rate decision/statement due overnight where markets will likely see the RBA reneging on its previously outlined tapering move before it goes into play.
  • The trend outlook is unchanged and bearish for AUDUSD. This follows the recent breach of a channel base drawn from the Feb 25 high, signalling potential for 0.7235 next, a 1.236 projection of the Feb 25 - Apr 1 - May 10 price swing. On the upside, initial resistance is at 0.7429, Jul 19 high.
  • Spanish unemployment due tomorrow before US factory orders. Then Fed Gov Bowman due to deliver opening remarks at a webinar hosted by the Board of Governors of the Federal Reserve System.
Energy BulletsCommodities
Energy BulletsCommodities

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.