Free Trial

G10 FX Stabilise, Congress Resumes Certification Process

FOREX

G10 FX held tight ranges in the Asia-Pac session, struggling to find a coherent sense of direction, with all eyes on the Capitol Hill, where the U.S. Congress resumed the process of certifying the results of the 2020 presidential elections. Several GOP lawmakers pulled back from earlier commitments to oppose the results, as the dust started to settle after yesterday's turmoil in DC.

  • JPY slipped ahead of the expected declaration of emergency in Tokyo and neighbouring prefectures, with Japanese media reporting that PM Suga will hold a presser on the matter this evening. Elsewhere, Japanese wages fell faster than exp. in Nov.
  • PBOC fixed USD/CNY at CNY6.4608, slightly weaker for the yuan than yesterday after strengthening for a total of 645 pips in 2021 so far. The central bank continued its post New Year drain, withdrawing CNY 110bn from the financial system, which equates to a net drain of CNY510bn this week. USD/CNH faltered, albeit yesterday's low remained unthreatened.
  • Indonesian rupiah softened after Indonesia moved to implement tighter movement restrictions in Java and Bali. USD/IDR tested weekly highs and its RSI crossed above the 30 (overbought) level, sending a bullish signal.
  • Focus moves to U.S. initial jobless claims & ISM Services, flash EZ & Italian CPIs, German factory orders as well as Fedspeak from Harker, Barkin, Bullard, Evans & Daly.

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.