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Market Session Recaps

Asia Session

Tue, Jul 14 2009, 08:23 GMT
by Forex.com Research Desk

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Trading was a give and take proposition today in Asia as some investors' added risk and some investors took risk off ahead of the Goldman Sachs earnings report that is due tomorrow and currently the focal point of the market. After earlier losses in NY as many fled safety due to an analyst stating that not only was Goldman Sachs a ''buy'', but the Goldman Sachs earnings would ''surprise big'', the Dollar and Yen were relatively steady in muted trading. Initial moves in the early hours of Asia showed risk appetite in full flight, but as the day progressed and despite strong equities, cooler heads prevailed, and the Yen and dollar clawed their way back from lows.

EUR/USD was able to hit a one week high just over 1.4000 early on, but softened a good 40 pips before looking to exit the session close to the 1.3980 ahead of a slew of European data including UK CPI as well as German ZEW data. EUR/JPY crested above 130.40, lost its grip to the tune of 70 or so pips and subsequently was trying hard to revisit earlier highs late in the day. The British pound also hit a one week high near 1.6290, but has been hovering around the 1.6250 region for the past few hours.

After a small bump in the road, the Dollar extended gains against the Yen, as highs near 93.20 were being posted as of this writing. AUD/JPY continued to move higher; still looking like it might have legs at its current highs just over 73.10. Australian NAB Business Confidence posted a positive result, +4 as opposed to last months -2, for the first time in recent memory, helping boost the Aussie. AUD/USD was flirting with new highs over 0.7850 as the trade day wore down.

The upcoming day in the US is loaded with potential market moving data, first and foremost the Goldman Sachs earnings; however Johnson & Johnson and Intel are also on the docket for tomorrow. Important economic data will also get a chance to play a role, as the NY session sees Retail Sales and PPI data, all factoring in for what can be a very volatile day of trading.

Upcoming Economic Data Releases (London Session) prior expected

7/14/20098:30UKDCLG UK House Prices (YoY)MAY -13.00%-12.60%
7/14/20098:30UKCPI (MoM)JUN 0.60%0.30%
7/14/20098:30UKCPI (YoY)JUN 2.20%1.80%
7/14/20098:30UKCore CPI YOYJUN 1.60%1.60%
7/14/20098:30UKRetail Price IndexJUN 212.8213.7
7/14/20098:30UKRPI (MoM)JUN 0.60%0.30%
7/14/20098:30UKRPI (YoY)JUN -1.10%-1.60%
7/14/20098:30UKRPI Ex Mort Int.Payments (YoY)JUN 1.60%1.10%
7/14/20099:00GE ZEW Survey (Econ. Sentiment)JUL 44.847.8
7/14/20099:00GE Zew Survey (Current Situation)JUL -89.7-88
7/14/20099:00ECZEW Survey (Econ. Sentiment)JUL 42.744
7/14/20099:00ECEuro-Zone Ind. Prod. sa (MoM)MAY -1.90%1.50%


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Legal disclaimer and risk disclosure

The information and opinions in this report are for general information use only and are not intended as an offer or solicitation with respect to the purchase of sale of any currency. All opinions and information contained in this report are subject to change without notice. This report has been prepared without regard to the specific investment objectives, financial situation and needs of any particular recipient. While the information contained herein was obtained from sources believed to be reliable, author does not guarantee its accuracy or completeness, nor does author assume any liability for any direct, indirect or consequential loss that may result from the reliance by any person upon any such information or opinions.
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