Forex Today: Aussie outperforms in Asia, a light calendar ahead


The US dollar started the week on the back foot across the board, which emerged the main underlying theme in Asia this Monday, helping most majors recover some ground, as Treasury yields sagged. The Aussie emerged the strongest while the Kiwi traded better offered amid negative oil prices and downbeat New Zealand services PMI data. The USD/JPY pair managed to reverse a dip, but traded neutral below the 109.50 levels, as the USD bulls lose last week’s bullish momentum.

Meanwhile, the Asian equity markets traded firmer, with the Chinese stocks leading the pack, despite the latest regulatory clampdown measures announced on the asset-backed securities.

Main topics in Asia

The return of Euroscepticism as Italy's 5 Star Movement and the League reach an agreement

On Sunday evening in Italy, what is arguably the biggest Eurosceptic alliances in Europe, leaders of Italy’s far-right League party and populist 5 Star Movement on Thursday moved closer to creating a coalition government. 

June deadline set for Northern Ireland Brexit solution - Reuters

According to reporting by Reuters, the French Foreign Minister Jean-Yves Le Drian has set a deadline for progress on Brexit concerns arising from Northern Ireland's border issues.

UK consumer spending continues to fall in April - Visa

Brits tightened their purse strings in April, figures from payment card company Visa showed on Monday, signaling the Bank of England (BOE) could be wrong in their assessment that much of the slowdown in Q1 GDP growth was temporary. 

Canada PM Trudeau: Optimistic on trade deal with US - Reuters

Canada’s PM Trudeau said in a pre-release excerpt from an interview to be published by the German daily, Handelsblatt, today, he is optimistic that a new North American Free Trade Agreement (NAFTA) trade deal with the US can be reached.

UK PM May: Committed to ensuring Iran deal is upheld - Reuters

The UK PM Theresa May told the Iranian president on Sunday, Britain and its European partners remain committed to ensuring the nuclear deal with Iran is upheld and Tehran must continue to meet its obligations under the pact, Reuters reports.

PBOC injects 156Bln Yuan via 1-year Medium term Lending Facility

The People’s Bank of China (PBOC) came out with a statement on Monday, announcing that it injected 156Bln Yuan through the 1-year Medium term Lending Facility (MLF).

Dollar Index: Loss of upward momentum

The dollar rally seems to have run its course, the action in the treasury yields and the technical studies indicate.

Key Focus ahead

Today’s macro calendar ahead remains absolutely data-empty, with nothing on the cards from the Euroland and the US docket. Hence, attention remains on a slew of speeches due to be delivered by the European Central Bank (ECB) policymakers alongside the Fedspeaks, with the list found below.

0630GMT – ECB’s Villeroy

0645GMT – Fed’s Mester

0830GMT - ECB’s Carlos da Silva Costa 

1000GMT - ECB’s Mersch

1015GMT – ECB’s Lautenschlaeger

1145GMT – ECB’s Chief Economist Peter Praet

1340GMT – Fed’s Bullard

1500GMT - Lautenschläger speaking again

1615GMT- ECB’s Praet (Round 2)

1745GMT – ECB’s Benoît Cœuré

Looking ahead, all eyes remain on Tuesday’s event calendar, with the RBA minutes and China data dump to drive the fx board in Asia while the German Prelim GDP q/q will hog the limelight in early Europe.

EUR/USD desperately trying to claw back 1.20, but German GDP could be blocking the way

Monday brings little data to the table, and the EUR/USD may be looking at a smooth ride, at least until Tuesday. German and Euro-area GDP preliminary figures drop on Tuesday beginning at 06:00 GMT …

GBP/USD: Soft Visa consumer spending could cap upside

The GBP/USD pair has been sidelined around the 200-day MA for more than a week now, which indicates the sell-off from the April 17 high of 1.4377 may have run out of steam.

Key data events for the week ahead - Westpac

The week is starting out on the quiet tip, but there is plenty in the day's ahead to be keeping a watch out for - Analysts at Westpac highlight the key events.

Week Ahead: Jobs and GDP in focus

The week ahead will be somewhat lighter in terms of major scheduled economic events than in the past week. 

 

 

GMT
Event
Vol.
Actual
Consensus
Previous
Thursday, May 10
24h
 
 
24h
 
 
Monday, May 14
06:00
 
 
28.1%
06:45
 
 
13:40
 
 
15:30
 
 
1.84%
15:30
 
 
2%
n/a
 
 
23:10
 
 
Tuesday, May 15
24h
 
 
01:30
 
 
01:40
 
 
02:00
 
10.0%
10.1%
02:00
 
6.3%
6.0%
02:00
 
7.4%
7.5%
02:00
 
 
0.5%
04:30
 
0%
0%
06:00
 
2.4%
2.9%
06:00
 
0.4%
0.6%
06:00
 
 
2.3%
07:15
 
0.1%
-0.2%
07:15
 
3%
2%
08:30
 
2.8%
2.8%
08:30
 
4.1%
4.2%
08:30
 
3.1%
2.8%
08:30
 
 
2.4%
08:30
 
3.5K
11.6K

 

Share: Feed news

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Recommended content


Recommended content

Editors’ Picks

AUD/USD: Next stop emerges at 0.6580

AUD/USD: Next stop emerges at 0.6580

The downward bias around AUD/USD remained unabated for yet another day, motivating spot to flirt with the area of four-week lows well south of the key 0.6700 region.

AUD/USD News

EUR/USD looks cautious near 1.0900 ahead of key data

EUR/USD looks cautious near 1.0900 ahead of key data

The humble advance in EUR/USD was enough to partially leave behind two consecutive sessions of marked losses, although a convincing surpass of the 1.0900 barrier was still elusive.

EUR/USD News

Gold extends slide below $2,400

Gold extends slide below $2,400

Gold stays under persistent bearish pressure after breaking below the key $2,400 level and trades at its lowest level in over a week below $2,390. In the absence of fundamental drivers, technical developments seem to be causing XAU/USD to stretch lower.

Gold News

Why this week could be explosive for Ethereum

Why this week could be explosive for Ethereum

Ethereum (ETH) is down nearly 1% on Monday as exchanges have begun confirming Tuesday as the launch date for ETH ETFs. Considering the ETH ETF launch and the upcoming Bitcoin Conference, this week could prove crucial for Ethereum.

Read more

What now for the Democrats?

What now for the Democrats?

Like many, I applaud Biden’s decision.  I would have preferred that he’d made it sooner, but there’s still plenty of time for the Democrats to run a successful campaign. In fact, I wish something on the order of a two-month campaign – as opposed to a two-year campaign – were the norm and not the exception. 

Read more

Forex MAJORS

Cryptocurrencies

Signatures