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18 Mar 2014
Asia Recap: AUD whipsaws on RBA minutes
FXStreet (Bali) - The Aussie some short-lived knee-jerk reaction on the back of a neutral RBA minutes, while the Japanese Yen extended its losses marginally in a quiet Asian session.
The market never got out of first gear, with Wed's FOMC meeting keeping flows relatively subdued. Only the RBA minutes, which maintane dthe same 'neutral' rhetoric, caused a 25-30 pips quick reaction in the AUD/USD, with buyers defending the 0.9070 support, while plenty of selling interest was noted at 0.9010 ahead of 0.9020/40, where major resistances levels converge (descending trendline coming off 1.0540 and 200-day MA).
USD/JPY managed to break above 101.85 double top, however, lack of follow through led the rate to a retest of an ascending trendline coming off March 14 for prices to approach Europe near session highs. Japanese banks were reportedly good buyers although offers circa 102.00 were also reported to be solid. The intraday setback in Yen crosses off highs came after a higher USDCNY fix, which led to a short-lived round of risk aversion.
The rest of G10 currencies, including the Euro, Pound, Swissy, Kiwi, were all confined in familiar ranges.
Main headlines in Asia
Large Chinese property developer at risk of bankruptcy
RBA minutes: Period of stability for rates if economy evolve as expected
PBOC sets USD/CNY rate at 6.1341
China FDI - Foreign Direct Investment (YTD)(YoY) 10.4% in January
China to promote talk on free trade zone with Japan and S Korea
The market never got out of first gear, with Wed's FOMC meeting keeping flows relatively subdued. Only the RBA minutes, which maintane dthe same 'neutral' rhetoric, caused a 25-30 pips quick reaction in the AUD/USD, with buyers defending the 0.9070 support, while plenty of selling interest was noted at 0.9010 ahead of 0.9020/40, where major resistances levels converge (descending trendline coming off 1.0540 and 200-day MA).
USD/JPY managed to break above 101.85 double top, however, lack of follow through led the rate to a retest of an ascending trendline coming off March 14 for prices to approach Europe near session highs. Japanese banks were reportedly good buyers although offers circa 102.00 were also reported to be solid. The intraday setback in Yen crosses off highs came after a higher USDCNY fix, which led to a short-lived round of risk aversion.
The rest of G10 currencies, including the Euro, Pound, Swissy, Kiwi, were all confined in familiar ranges.
Main headlines in Asia
Large Chinese property developer at risk of bankruptcy
RBA minutes: Period of stability for rates if economy evolve as expected
PBOC sets USD/CNY rate at 6.1341
China FDI - Foreign Direct Investment (YTD)(YoY) 10.4% in January
China to promote talk on free trade zone with Japan and S Korea