EUR/USD
With little in the way of news flow, particularly as the European markets are closed, EUR came off its overnight highs to test its session low at 1.3802. With little fundamental to lead the move the retracement was observed after its session high of 1.3831 was met but not broken. Looking ahead to the rest of the week, participants will get to digest the release of Eurozone PMI’s on Wednesday, and German IFO expectations on Thursday.GBP/USD
Similar to its peers, GBP/USD has remained muted with the Easter holiday weekend leading to very light volumes. After breaking the psychological handle of 1.6800 overnight, the pair came off its highs, now moving to the downside, falling back below the aforementioned handle. Looking ahead the participants will get to digest the release of the BoE minutes on Wednesday and the UK retail sales on Friday.USD/JPY
Overnight, JPY weakened after the release of poorer-than-expected Japanese trade balance, - 1446.3bln vs. Exp. -1080.9bln (Prev. -800.3bln, Rev. -802.5bln), showed the trade deficit widened more than forecast last month. Overnight some news flow out of Japan suggested Japan's PM Abe's government plans to shake up the GPIF by replacing several key advisors in a sign that the leader wants public funds to invest more aggressively which could be of importance moving ahead. In a light session there was little else to give direction to the pair, however it came off its session highs, moving to trade generally sideways. Looking ahead the markets will see the release of US PMIs, weekly jobs reports and the BoJ deputy governor Nakaso talking in Kyoto on Wednesday.
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