Free Trial

USD Firms In Asia, Powell In View

FOREX

The greenback has firmed in the Asian session on Friday as Fed Chair Powell's speech this evening comes in to view. The greenback has moderately extended gains seen in Thursday's trading, lower regional equities are weighing on sentiment at the margins.

  • EUR is pressured, EUR/USD is down ~0.3% and has broken several support levels. ECB's Nagel noted he is yet to make his mind up about the September ECB monetary policy decision. Support now comes in at €1.0767, bull channel base drawn from Mar 15 low, and €1.0733, low from Jun 12. Resistance is at €1.0933, the 20-Day EMA.
  • Kiwi is down ~0.3% and sits a touch above YTD lows, bears look to break the low from 21 Aug ($0.5897).
  • Yen is a touch pressured, USD/JPY is ~0.1% firmer and sits above the ¥146 handle. The pair has breached Thursday's highs although ranges remain narrow.
  • AUD/USD is holding above the $0.64 handle, ranges have been narrow today.
  • Elsewhere in the G-10 space GBP is down ~0.3%. The Scandies are also pressured however liquidity is generally poor in Asia.
  • Cross asset wise; BBDXY is up ~0.2% and the Hang Seng is down ~1%. US Tsy Yields are little changed across the curve.
  • The final read of German Q2 GDP is the highlight in Europe, further out the aforementioned Fedpeak from Powell headlines today's docket.

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.