EUR/USD
The pair finished the session in minor negative territory, weighed on by a firmer USD and also weaker than expected French advanced Q3 GDP report. Also, while the release of weaker than expected retail sales report from the UK briefly resulted in GBP underperforming EUR, the fact that the BoE is perceived to be in a more hawkish mode than the ECB meant that EUR/GBP resumed the downward trend. In terms of technical levels, supports are seen at 1.3359/45 and then at the 30-day lower Bollinger level.
GBP/USD
The release of less than impressive retail sales for the month of October, together with a firmer USD failed to weigh on the pair, which as a result of favourable rate flows against Euro equivalent finished the session higher. The ONS said that declining motor fuels sales led to fall in sales in October and mild weather affected sales of winter clothing. In other UK related commentary, BoE's Mark Carney said that he "would be prepared to raise interest rates before an election if this was necessary". While BoE's Fisher said timing of rate rise is very uncertain, adding that the BoE won’t raise rates anytime soon.
USD/JPY
The pair finished the session sharply higher after Japanese finance minister said that it is important that Japan has intervention as FX policy option. He also added that Japan must always be ready to send signal to markets to curb excessive and one sided FX moves. Aggressive and broad based JPY weakness saw the pair move back above the key 100.00 level for the first time since early September and also supported the domestic stock index, which advanced into bull market territory. In the options market, the 1m R/R touched on May highs, while touted delta unwinds after the DNT barrier level at 100.00 was erased resulted in temporary profit taking related flows. Of note, overnight also saw the release of the prelim Q3 GDP report which came in above exp. at 1.9% vs. Exp. 1.7%.
Recommended Content
Editors’ Picks
USD/JPY holds near 155.50 after Tokyo CPI inflation eases more than expected
USD/JPY is trading tightly just below the 156.00 handle, hugging multi-year highs as the Yen continues to deflate. The pair is trading into 30-plus year highs, and bullish momentum is targeting all-time record bids beyond 160.00, a price level the pair hasn’t reached since 1990.
AUD/USD stands firm above 0.6500 with markets bracing for Aussie PPI, US inflation
The Aussie Dollar begins Friday’s Asian session on the right foot against the Greenback after posting gains of 0.33% on Thursday. The AUD/USD advance was sponsored by a United States report showing the economy is growing below estimates while inflation picked up.
Gold soars as US economic woes and inflation fears grip investors
Gold prices advanced modestly during Thursday’s North American session, gaining more than 0.5% following the release of crucial economic data from the United States. GDP figures for the first quarter of 2024 missed estimates, increasing speculation that the US Fed could lower borrowing costs.
FBI cautions against non-KYC Bitcoin and crypto money transmitting services as SEC goes after MetaMask
US FBI has issued a caution to Bitcoiners and cryptocurrency market enthusiasts, coming on the same day as when the US Securities and Exchange Commission is on the receiving end of a lawsuit, with a new player adding to the list of parties calling for the regulator to restrain its hand.
Bank of Japan expected to keep interest rates on hold after landmark hike
The Bank of Japan is set to leave its short-term rate target unchanged in the range between 0% and 0.1% on Friday, following the conclusion of its two-day monetary policy review meeting for April. The BoJ will announce its decision on Friday at around 3:00 GMT.