Free Trial

Risk aversion, caused by uncertainty of the...>

FOREX
FOREX: Risk aversion, caused by uncertainty of the US-China trade negotiations,
continued to pressure markets through Wed trade with USD/JPY extending its slip
back below its 200-dma(Y109.02) to Y108.66, EUR/JPY providing part of the
momentum on its move below Y120.00 as well as an easing in UST yields. EUR/JPY
move helped EUR/USD ease below $1.1000, but met further support between
$1.0995/90. USD/CHF eased under Chf0.9900 but struggled to gain downside
momentum, SNB Jordan warning they are ready to intervene at any time. UK CPI
came in softer than forecast at 1.5%yy vs last 1.7% (median 1.6%) but little
reaction seen, sterling remaining buoyed by recent polls suggesting a
Conservative lead. Powell testimony concluded. Tune remained the same from the
October FOMC, and little reaction in Tsys / rates overall (curve ever so
slightly steeper). As he said again, 'policy is not on a preset course'.
- Thursday: AUD Unemployment Rate 0030GMT, JPY Tertiary Industry Index 0430GMT,
EUR Germany Flash Q3 GDP 0700GMT, France final CPI 0745GMT, UK Retail Sales
0930GMT, EZ GDP 1000GMT, CAD New Housing Price Index, US Weekly Jobless Claims
and US PPI at 1330GMT. ECB Knot speaks at 1400GMT.

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.