Market Review - 10/02/2016 22:15GMT
Dollar falls broadly after Yellen's testimony
The greenback surrendered its initial gains made after comments from Fed's Yellen increased speculation of a possible rate hike soon.
The single currency met renewed selling at 1.1312 at Asian morning and dropped to 1.1237 in European morning, then 1.1222 at New York open. Intra-day decline accelerated and price fell briefly but sharply to an intra-day low at 1.1161 as Yellen revived rate hike hopes. However, euro swiftly pared its losses and rebounded strongly to 1.1299 near New York close.
Versus the Japanese yen, the greenback dropped to 114.26 in Asian morning due to the selloff in Nikkei-225 index before recovering to 115.19 in European morning. Later, dollar retreated to 114.53 in New York morning and despite a brief rise to 115.20, price tumbled to a fresh 15-month low at 113.12.
The British pound traded narrowly in Asia and briefly edged lower to 1.4438 in European morning on release of poor UK industrial output data before rallying to an intra-day high at 1.4578 ahead of New York open on cross-buying of sterling vs euro. However, price pared its gains and tumbled to 1.4449 in New York morning on Yellen's comments, cable later rebounded in tandem with euro to 1.4547.
UK industrial output mm and yy came in much weaker-than-expected -1.1% and -0.4% vs forecasts of -0.1% and 1.0% respectively.
Data to be released on Thursday:
New Zealand manufacturing PMI, Japan machine tool order, Swiss CPI, U.K. housing survey, U.S. initial jobless claims and Canada new housing price index.
Dollar falls broadly after Yellen's testimony
The greenback surrendered its initial gains made after comments from Fed's Yellen increased speculation of a possible rate hike soon.
The single currency met renewed selling at 1.1312 at Asian morning and dropped to 1.1237 in European morning, then 1.1222 at New York open. Intra-day decline accelerated and price fell briefly but sharply to an intra-day low at 1.1161 as Yellen revived rate hike hopes. However, euro swiftly pared its losses and rebounded strongly to 1.1299 near New York close.
Versus the Japanese yen, the greenback dropped to 114.26 in Asian morning due to the selloff in Nikkei-225 index before recovering to 115.19 in European morning. Later, dollar retreated to 114.53 in New York morning and despite a brief rise to 115.20, price tumbled to a fresh 15-month low at 113.12.
The British pound traded narrowly in Asia and briefly edged lower to 1.4438 in European morning on release of poor UK industrial output data before rallying to an intra-day high at 1.4578 ahead of New York open on cross-buying of sterling vs euro. However, price pared its gains and tumbled to 1.4449 in New York morning on Yellen's comments, cable later rebounded in tandem with euro to 1.4547.
UK industrial output mm and yy came in much weaker-than-expected -1.1% and -0.4% vs forecasts of -0.1% and 1.0% respectively.
Data to be released on Thursday:
New Zealand manufacturing PMI, Japan machine tool order, Swiss CPI, U.K. housing survey, U.S. initial jobless claims and Canada new housing price index.
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