Forex Today: Yen rebounds in Asia, German data in focus

FXStreet Team FXStreet

Forex today in Asia witnessed volatility seeping back, as full markets return after the New Year holiday break. Among the Asia-pac currencies, the Yen and Aussie both rallied, but it was the BoJ’s reduced JGBs purchases news that made the Yen the biggest gainer. The Kiwi also piggy-backed its OZ neighbor while higher Asian equities as well oil prices kept the sentiment underpinned.

Main topics in Asia

Australia: Dwelling approvals rise 11.7% in November – Westpac

Simon Murray, Research Analyst at Westpac, notes that Australian dwelling approvals rise 11.7% in November, driven by a jump in Victorian apartment approvals.

BRC: UK retailers see the biggest fall in non-food spending since 2009

The BRC said overall spending in the last three months of 2017 rose by a sluggish 1.1 percent, compared with an average annual growth rate of 1.7 percent for 2017 as a whole, as cited by Reuters.

Fund managers: Bitcoin ETF proposals withdrawn due to SEC concern - RTRS

Reuters reports the latest headlines, citing that two US companies shelved proposals to launch bitcoin exchange-traded funds (ETFs)…

BoJ cuts its JGBs buying today

The Bank of Japan (BoJ) trimmed its JGBS purchases to JPY 190 bln of 10 - 25 Year JGBs in today's operation, compared to 200bn yen last time while buying JPY 80 bln 25+ Year versus 90bn last time.

Key Focus ahead

The German industrial production and trade data will be reported ahead of the European opening bells while the Swiss retail sales and Eurozone employment data will fill in an otherwise quiet EUR calendar. In the NA session, markets will look forward to the second-liner economic releases in absence of any first-tier data, with the US JOLTS job openings and Canadian housing starts in focus amid other minority reports.

EUR/USD: Corrective slide to resume below 1.1950?

The EUR/USD pair staged a brief recovery from a dip to 1.1958 levels, although remained confined within the familiar 20-pips, as investors await fresh trading impetus for the next direction.

GBP/USD: Bulls gathering pace for a test of 1.3600

The GBP/USD pair defended minor bids and hovered near the upper bound of the recent trading range near 1.3580 levels, with the bulls in search of fresh catalyst amid broad-based US dollar weakness.

JOLTS data preview - Nomura

Analysts at Nomura noted the forthcoming JOLTS data.

Key upcoming data for the US - Nomura

"December’s CPI and retail sales reports highlight next week’s data release schedule."

GMT	Event	Actual	Consensus	Previous
Monday, Jan 08
18:35	USD FOMC Member Williams speech
20:00	USD Consumer Credit Change	$27.95B	$19.75B	$20.53B Revised from $20.52B
21:00	USD Federal Reserve Bank of Boston President Rosengren Speech
Tuesday, Jan 09
00:00	JPY Labor Cash Earnings (YoY)	0.9%	0.6%	0.2% Revised from 0.6%
00:01	GBP BRC Like-For-Like Retail Sales (YoY)	0.6%	0.4%	0.6%
00:01	EUR Consumer Confidence	103.2		103.6
00:30	AUD Building Permits (MoM)	11.7%	-1.3%	-0.1% Revised from 0.9%
00:30	AUD Building Permits (YoY)	17.1%	5.0%	18.4%
00:30	AUD ANZ Job Advertisements	-2.3%		1.1% Revised from 1.5%
05:00	JPY Consumer Confidence Index	44.7	45.1	44.9
05:30	EUR Consumer Price Index n.s.a (YoY)			1.5%
06:45	CHF Unemployment Rate s.a (MoM)		3%	3%
07:00	EUR Industrial Production s.a. (MoM)		1.8%	-1.4%
07:00	EUR Industrial Production n.s.a. w.d.a. (YoY)		4.0%	2.7%
07:00	EUR Exports (MoM)		1.2%	-0.4%
07:00	EUR Trade Balance s.a.		€20.9B	€19.9B
07:00	EUR Current Account n.s.a.		€25.5B	€18.1B
07:00	EUR Imports (MoM)		0.8%	1.8%
n/a	CZK Unemployment Rate			3.5%
07:00	RON Consumer Price Index			3.2%
07:45	EUR Imports, EUR			€45.402B
07:45	EUR Trade Balance EUR		€-4.70B	€-4.96B
07:45	EUR Exports, EUR			€40.446B
07:45	EUR Current Account			€-2.2B
08:00	DKK Current Account			14.8B
08:00	HUF Trade Balance			€495M
08:00	EUR Foreign Trade Balance			€505M
08:00	EUR Non-monetary policy's ECB meeting
08:00	CHF Foreign Currency Reserves			738B
08:15	CHF Real Retail Sales (YoY)		-2.5%	-3.0%
n/a	EUR Unemployment		11.0%	11.1%
10:00	EUR Industrial Production (YoY)			0.5%
10:00	EUR Unemployment Rate		8.7%	8.8%
n/a	GBP 10-y Bond Auction			1.34%
11:00	USD NFIB Business Optimism Index		108.4	107.5
11:00	BRL Retail Sales (MoM)			-0.9%
11:00	EUR Global Trade Balance			€-4.056B
13:00	ZAR Total New Vehicle Sales			49.754
13:00	RUB Consumer Price Index (MoM)			0.2%
13:15	CAD Housing Starts s.a (YoY)		212.5K	252.2K
13:55	USD Redbook index (MoM)			0.3%
13:55	USD Redbook index (YoY)			5%
15:00	USD JOLTS Job Openings		6.038M	5.996M
15:00	USD FOMC Member Kashkari Speech
n/a	USD IBD/TIPP Economic Optimism (MoM)		52.3	51.9
16:30	USD 4-Week Bill Auction			1.27%
18:00	USD 3-Year Note Auction			1.932%
21:30	USD API Weekly Crude Oil Stock			-4.992M
Wednesday, Jan 10
00:30	AUD National Australia Bank's Business Conditions			12
00:30	AUD National Australia Bank's Business Confidence			6
01:30	CNY Producer Price Index (YoY)		4.8%	5.8%
01:30	CNY Consumer Price Index (MoM)		0.4%	0.0%
01:30	CNY Consumer Price Index (YoY)		1.9%	1.7%
02:00	CNY M2 Money Supply (YoY)		9.1%	9.1%
02:00	CNY New Loans		1,000B	1,120B
03:00	KRW Money Supply Growth			6%
06:00	NOK Consumer Price Index (YoY)			1.1%
06:00	NOK Core Inflation (MoM)			-0.3%
06:00	NOK Core Inflation (YoY)			1%
06:00	NOK Consumer Price Index (MoM)			0.1%
06:00	NOK Producer Price Index (YoY)			9.7%
07:45	EUR Industrial Output (MoM)		-0.5%	1.9%
08:00	DKK Consumer Price Index (YoY)			1.3%
08:00	DKK Inflation (HICP) (YoY)			1.3%
08:00	CZK Gross Domestic Product (YoY)			5%
09:30	ZAR Business Confidence Index			95.1
09:30	GBP Industrial Production (MoM)		0.3%	0.0%
09:30	GBP Manufacturing Production (MoM)		0.3%	0.1%
09:30	GBP Industrial Production (YoY)		1.8%	3.6%
09:30	GBP Manufacturing Production (YoY)		2.8%	3.9%
09:30	GBP Trade Balance; non-EU		£-2.600B	£-2.382B
09:30	GBP Total Trade Balance			£-1.405B
09:30	GBP Goods Trade Balance		£-10.700B	£-10.781B
n/a	EUR 10-y Bond Auction			0.3%
12:00	USD MBA Mortgage Applications			0.7%
13:00	GBP NIESR GDP Estimate (3M)			0.5%
13:30	USD Wholesale Inventories			0.7%
13:30	USD Import Price Index (MoM)		0.5%	0.7%
13:30	USD Export Price Index (MoM)		0.3%	0.5%
13:30	USD Export Price Index (YoY)			3.1%
13:30	USD Import Price Index (YoY)			3.1%
13:30	CAD Building Permits (MoM)			3.5%
14:00	USD Fed's Evans Speech
15:00	INR Trade Deficit Government			$13.83B
15:30	USD EIA Crude Oil Stocks change			-7.419M
n/a	USD 10-Year Note Auction			2.384%
18:30	USD Fed's Bullard speech
23:00	KRW Unemployment Rate			3.7%
23:50	JPY JP Foreign Reserves			$1,261.2B
Thursday, Jan 11
00:30	AUD Retail Sales s.a. (MoM)		0.4%	0.5%
05:00	JPY Leading Economic Index			106.5
05:00	JPY Coincident Index			116.4
07:00	TRY Current Account Balance			$-3.827B
07:00	DKK Industrial Production (MoM)			2.5%
07:00	EUR Gross Domestic Product (YoY)			2.6%
08:00	EUR Industrial Output Cal Adjusted (YoY)			4.1%
08:00	CZK Retail Sales (YoY)			6.3%
09:00	EUR Retail Sales s.a. (MoM)			-1%
09:00	EUR Retail Sales n.s.a (YoY)			-2.1%
09:30	GBP BOE Credit Conditions Survey
10:00	EUR Unemployment Rate (MoM)			20.5%
10:00	EUR Industrial Production w.d.a. (YoY)		3.2%	3.7%
10:00	EUR Industrial Production s.a. (MoM)		0.8%	0.2%
11:00	BRL IPCA Inflation			0.28%
11:00	ZAR Manufacturing Production Index (YoY)			2.2%
11:00	EUR Consumer Price Index (MoM)			-0.3%
11:00	EUR Consumer Price Index (YoY)			1.5%
12:30	EUR ECB Monetary Policy Meeting Accounts
13:30	USD Producer Price Index (YoY)		3.1%	3.1%
13:30	USD Producer Price Index ex Food & Energy (MoM)		0.2%	0.3%
13:30	USD Producer Price Index (MoM)		0.2%	0.4%
13:30	USD Producer Price Index ex Food & Energy (YoY)		2.5%	2.4%
13:30	USD Continuing Jobless Claims		1.923M	1.914M
13:30	USD Initial Jobless Claims		245K	250K
13:30	CAD New Housing Price Index (YoY)			3.5%
13:30	CAD New Housing Price Index (MoM)		0.2%	0.1%
14:00	MXN Consumer Confidence s.a			88.8
14:00	MXN Consumer Confidence			89.3
15:30	USD EIA Natural Gas Storage change			-206B
18:00	USD 30-Year Bond Auction			2.804%
n/a	ARS Consumer Price Index (MoM)			1.4%
20:30	USD Fed's William Dudley speech
21:45	NZD Building Permits s.a. (MoM)			-9.6%
23:50	JPY Bank lending (YoY)			2.7%
23:50	JPY Foreign investment in Japan stocks			¥76.2B
23:50	JPY Foreign bond investment			¥434.2B
23:50	JPY Current Account n.s.a.		¥1,836.1B	¥2,176.4B
23:50	JPY Trade Balance - BOP Basis			¥430.2B
Friday, Jan 12
02:00	CNY Imports (YoY)			17.7%
02:00	CNY Trade Balance CNY			263.6B
02:00	CNY Exports (YoY) CNY			10.3%
02:00	CNY Imports (YoY) CNY			15.6%
n/a	CNY Trade Balance USD			$40.21B
02:00	CNY Exports (YoY)			12.3%
02:00	CNY Fixed Asset Investment (YTD) (YoY)			7.2%
02:00	CNY FDI - Foreign Direct Investment (YTD) (YoY)			9.8%
05:00	JPY Eco Watchers Survey: Outlook			53.8
05:00	JPY Eco Watchers Survey: Current			55.1
07:00	RON Industrial Production (MoM)			1%
07:00	RON Gross Domestic Product			8.8%
08:00	EUR HICP (YoY)			1.3%
08:00	EUR HICP (MoM)			0.3%
08:00	EUR Consumer Price Index (MoM)			0.5%
08:00	EUR Consumer Price Index (YoY)			1.7%
09:00	EUR Industrial Output w.d.a (YoY)			3.1%
09:00	EUR Industrial Output s.a. (MoM)		0.5%	0.5%
n/a	EUR Consumer Price Index - Harmonized (YoY)			1.1%
10:00	EUR Consumer Price Index (YoY)			1.1%
11:30	INR Cumulative Industrial Output			2.5%
11:30	INR FX Reserves, USD			$409.37B
13:00	PLN Net Inflation			0.9%
13:30	USD Retail Sales ex Autos (MoM)		0.4%	1.0%
13:30	USD Retail Sales control group		0.4%	0.8%
13:30	USD Retail Sales (MoM)		0.4%	0.8%
13:30	USD Consumer Price Index Ex Food & Energy (MoM)		0.2%	0.1%
13:30	USD Consumer Price Index Ex Food & Energy (YoY)		1.7%	1.7%
13:30	USD Consumer Price Index (YoY)		2.1%	2.2%
13:30	USD Consumer Price Index n.s.a (MoM)		246.381	246.669
13:30	USD Consumer Price Index (MoM)		0.2%	0.4%
13:30	USD Consumer Price Index Core s.a			253.72
15:00	USD Business Inventories		0.3%	-0.1%
16:30	EUR German Buba President Weidmann speech
18:00	USD Baker Hughes US Oil Rig Count			742
19:00	USD Monthly Budget Statement			$-139B
19:30	USD CFTC Oil NC net positions		646.8K	624.2K
19:30	USD CFTC Gold NC net positions		$208.9K	$163.3K
19:30	USD CFTC USD NC net positions		$147.7K	$172.6K
19:30	GBP CFTC GBP NC net positions		£12.4K	£16.2K
19:30	JPY CFTC JPY NC net positions		¥-126.9K	¥-121.8K
19:30	EUR CFTC EUR NC net positions		€176.0K	€127.9K
19:30	AUD CFTC AUD NC net positions		$-18.3K	$-20.0K

Author

FXStreet Team

FXStreet

Composed of a group of economic journalists and FX experts, the FXStreet content team produces and oversees all content published on FXStreet. It provides a purely journalistic approach to the Forex market.

AUD/USD keeps range near mid-0.7100s as USD bulls await US CPI

AUD/USD steadies near mid-0.7100s in the Asian session on Friday, stalling the previous day's sharp decline to an over one-week low. The August PPI report reaffirmed Fed rate-hike bets and boosted the US Dollar on Thursday, which weighed heavily on the pair. However, hawkish RBA expectations limited losses for the Aussie as USD bulls now await the release of the US consumer inflation figures before placing fresh bets.

USD/JPY holds lower ground toward 154.00; looks to US CPI

USD/JPY holds lower ground toward 154.00 in the Asian session on Friday after hot Japanese PPI data bolster a more hawkish BoJ repricing and provide fresh impetus to the Japanese Yen. However, the downside appears capped as the US Dollar preserves overnight gains ahead of the latest US consumer inflation data.

Gold: Gains remain capped by $4,400

Gold regains composure and trades with decent gains on Friday, managing to refocus attention on the $4,440 mark per ounce troy. Therefore, the precious metal reverses Thursday’s decline as the US Dollar alternates gains with losses at the end of the week.

Ripple Price Forecast: XRP extends decline as returning ETF inflows fail to lift outlook

Ripple (XRP) falls below $1.33 on Friday, marking the third consecutive day of declines. The token continues to track the broader cryptocurrency market downturn, with investors closely monitoring heightened macroeconomic uncertainty ahead of the United States (US) Consumer Price Index (CPI) release and next week’s Federal Reserve (Fed) monetary policy decision.

Weekly focus – The hawks set the tone

Risky assets came under pressure this week as energy prices kept creeping higher and the ECB surprised the markets with a hawkish tone. The price of Brent crude touched USD 110 per barrel on Thursday night, highest since mid-May, as news emerged that the Yemeni Houthis had reached control of key port cities and islands near the Bab el-Mandeb strait.

Venezuela’s 65-billion-barrel Oil deal could reshape America’s inflation fight

The United States (US) has secured unprecedented access to part of Venezuela’s vast Oil reserves. The timing is particularly significant as the war with Iran is disrupting Middle Eastern supplies, keeping energy prices elevated and reviving concerns about inflation.