The NY session saw the buck under pressure despite the overall risk averse environment. US equities closed flat on the day after swinging from positive to negative terrain the entire session. Treasuries were bought and the 10-year yield sank -12bps to 2.88% ostensibly on a rumor that the Fed was a buyer here. Gold managed to hang on to overnight gains and was sitting by 906/907 after the 892/890 daily trendline support held.

The lack of any major economic data had traders focused on technical levels in FX. EUR/USD jumped more than 75 pips in the session and was sitting near 1.2840/50 ahead of the close. The 1.2820 topside break elicited a rally into the 1.2860/70 highs and the pair remains better bid while above there.

USD/JPY shed more than -100 pips in the span to the 97.20/30 zone. The pair was unable to take out the 200hr SMA by 98.30 in early NY trading and then a break through the critical 97.90 level opened the floodgates. It is currently trying to carve out a bottom by the 97 level here.

USD/CAD was one of the few pairs that managed to show some strength in the greenback. Loonie rallied more than 70 pips to 1.2850 as oil prices got hammered more than -6.0% to just above the $42 mark. Positive comments from Finance Minister Flaherty regarding the Canadian economy, and its potential to emerge from this crisis before others in the G-7, were offset by the selloff in oil.

Upcoming Economic Data Releases (Asia Session)  prev  est

  • 3/11/2009  21:30  NZ  Business NZ PMI  FEB  42  - -
  • 3/11/2009  21:30  NZ  Business NZ Publishes Performance of Manufacturing Index  11-Mar  
  • 3/11/2009  21:45  NZ  Food Prices (MoM)  FEB  0.80%  - -
  • 3/11/2009  23:50  JN  Gross Domestic Product (QoQ)  4Q F  -3.30%  -3.50%
  • 3/11/2009  23:50  JN  GDP Annualized  4Q F  -12.70%  -13.40%
  • 3/11/2009  23:50  JN  Nominal GDP (QoQ)  4Q F  -1.70%  -1.80%
  • 3/11/2009  23:50  JN  GDP Deflator YoY  4Q F  0.90%  0.90%
  • 3/12/2009  0:00  AU  Consumer Inflation Expectation  MAR  2.30%  - -
  • 3/12/2009  0:30  AU  Employment Change  FEB  1.2K  -20.0K
  • 3/12/2009  0:30  AU  Unemployment Rate  FEB  4.80%  5.00%
  • 3/12/2009  0:30  AU  Participation Rate  FEB  65.10%  65.00%