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15 Dec 2014
Last week’s volatility carried over into the Asian session – TradeTheNews
FXStreet (Barcelona) - The TradeTheNews Team notes that last week’s volatility was reflected in the Asian trading session with USD/JPY falling 100pips before rebounding back towards the 118.70 handle.
Key Quotes
“Last week's volatility has carried over into the new Asian trading session, as regional indices track the slump in the US markets on Friday even as SP500 futures point to a higher open.”
“USD/JPY reflects the swings in overall sentiment, initially falling about 100pips to 117.80 before rebounding toward 118.70 in early afternoon session. Japan's ruling LDP party passed the snap elections test with flying colors, retaining the 2/3 supermajority with about 326 seats in the 475-seat lower house of Parliament. Govt officials have indicated that all cabinet posts will be unchanged, while cabinet sec Suga noted economic revival remains the govt's top priority.”
"Separately out of Japan, BOJ's Q4 Tankan survey saw Manufacturing slip by a point to +12 and Outlook miss consensus by 3pts at +9. BOJ noted the relative underperformance of smaller sector of the economy demonstrates the impact of weak Yen on business sentiment.”
"AUD/USD opened lower by about 50pips in the first two hours to test $0.82 handle before paring about half of those losses. Australia's Mid-Year Economic and Fiscal Outlook (MYEFO) contained few surprises in its gloomy assessment, widening its projections for FY14/15 budget deficit to A$40.4B v A$29.8B prior forecast and the following year to deficit A$31.2B v A$17.1B prior forecast."
Key Quotes
“Last week's volatility has carried over into the new Asian trading session, as regional indices track the slump in the US markets on Friday even as SP500 futures point to a higher open.”
“USD/JPY reflects the swings in overall sentiment, initially falling about 100pips to 117.80 before rebounding toward 118.70 in early afternoon session. Japan's ruling LDP party passed the snap elections test with flying colors, retaining the 2/3 supermajority with about 326 seats in the 475-seat lower house of Parliament. Govt officials have indicated that all cabinet posts will be unchanged, while cabinet sec Suga noted economic revival remains the govt's top priority.”
"Separately out of Japan, BOJ's Q4 Tankan survey saw Manufacturing slip by a point to +12 and Outlook miss consensus by 3pts at +9. BOJ noted the relative underperformance of smaller sector of the economy demonstrates the impact of weak Yen on business sentiment.”
"AUD/USD opened lower by about 50pips in the first two hours to test $0.82 handle before paring about half of those losses. Australia's Mid-Year Economic and Fiscal Outlook (MYEFO) contained few surprises in its gloomy assessment, widening its projections for FY14/15 budget deficit to A$40.4B v A$29.8B prior forecast and the following year to deficit A$31.2B v A$17.1B prior forecast."