Amidst ongoing broad-based US dollar upbeat momentum, most majors traded with sizeable losses in the Asian session this Thursday. The Kiwi emerged the biggest loser on the back of the commodities’ sell-off seen in the US last session, while the Aussie fell on downbeat Australian trade balance report. The Japanese currency also traded on the back foot, in the wake of rallying Japanese indices and BOJ Governor Kuroda’s comments. However, the EUR/USD pair kept its recovery mode intact, unfazed by risk-on sentiment and higher Treasury yields.
Meanwhile, the Asian equities traded lower, led by the declines in the Japanese stock. WTI dropped on a build seen in the US API stockpiles data. Gold rebounded from 2-month lows and tested $ 1270 levels on subdued Treasury yields.
Main topics in Asia
Australia trade surplus narrowed in October, exports dropped 3 percent
The data released by the Australia Bureau of Statistics (ABS) shows the trade surplus narrowed to AUD 105 million in October from the September figure of AUD 1604 million.
Bitcoin: Bulls unstoppable, jumps beyond $ 14000 mark
The relentless rise in Bitcoin, (BTC/USD) the world’s largest cryptocurrency appears unstoppable, with the bulls extending the ongoing rally beyond $ 14,500 for the first time ever.
Fitch: APAC growth to hold up amid China slowdown and US hikes
In its latest 2018 Outlook: Emerging Asia Sovereigns, the US-based Fitch ratings, highlighted, “economic growth in Asia-Pacific (APAC) is likely to remain strong in 2018, supported by improving global trade volumes…
EU’s Juncker 'fears May's Govt will collapse next week without Brexit deal' - Telegraph
The UK's Telegraph published a story earlier today, after having learnt that the European (EU) Commission President Jean-Claude Juncker fears the UK PM Theresa May's government will collapse next week without a break to Brexit deal.
BoJ’s Kuroda: The CPI is likely to increase moderately
BoJ’s Kuroda: BOJ will promote powerful monetary easing to achieve its objectives
BoJ’s Kuroda: BOJ will do whatever it takes to achieve mandates
Key Focus ahead
The European calendar is filled up with a set of second-liner macro data releases, including the German industrial figures and Eurozone Q3 GDP revision. Meanwhile, from the UK docket, we have the Halifax HPI index release, which will keep the GBP traders slightly busy alongside the Brexit headlines hitting the wires.
In the NA session, the Canadian building permits and Ivey PMI data will be reported, while the weekly jobless claims is on the cards from the US docket. The main focus today will remain on the ECB President Draghi’s speech scheduled later in the American mid-morning.
EUR/USD: Upside seems limited ahead of EZ Q3 GDP, Draghi’s speech
The EUR/USD pair traded in a 15-pips tight range around 1.18 handle in the Asian trades, consolidating the overnight recovery from 2-week troughs of 1.1781.
The GBP/USD closed below 1.34 yesterday, possibly due to concerns surrounding the Irish border and the dwindling prospects of a deal ahead of next week’s summit.
It’s not getting any easier deciphering the continually shifting market sentiment in the currency markets as the USD has gone bid across nearly every currency.
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
Editors’ Picks
EUR/USD holds below 1.0750 ahead of key US data
EUR/USD trades in a tight range below 1.0750 in the European session on Friday. The US Dollar struggles to gather strength ahead of key PCE Price Index data, the Fed's preferred gauge of inflation, and helps the pair hold its ground.
GBP/USD consolidates above 1.2500, eyes on US PCE data
GBP/USD fluctuates at around 1.2500 in the European session on Friday following the three-day rebound. The PCE inflation data for March will be watched closely by market participants later in the day.
Gold clings to modest daily gains at around $2,350
Gold stays in positive territory at around $2,350 after closing in positive territory on Thursday. The benchmark 10-year US Treasury bond yield edges lower ahead of US PCE Price Index data, allowing XAU/USD to stretch higher.
Bitcoin Weekly Forecast: BTC’s next breakout could propel it to $80,000 Premium
Bitcoin’s recent price consolidation could be nearing its end as technical indicators and on-chain metrics suggest a potential upward breakout. However, this move would not be straightforward and could punish impatient investors.
US core PCE inflation set to signal firm price pressures as markets delay Federal Reserve rate cut bets
The core PCE Price Index, which excludes volatile food and energy prices, is seen as the more influential measure of inflation in terms of Fed positioning. The index is forecast to rise 0.3% on a monthly basis in March, matching February’s increase.