25 Apr 2014
Asia Recap: Consolidation to end shortened week
FXStreet (Bali) - A very quiet Asian session on Friday, with all G10 currencies consolidating in tight ranges ahead of the European session.
Focus earlier in Asia was on the inflation figures out of Tokyo, with the April core CPI unsurprisnly printing a multi-decade high at 2.7% (YoY), 22-year high t be precise, following the sales tax hike from earlier this month. Despite the reading, it still missed expectation by 0.1 bp, thus proving hope for those supporting the BoJ ease trade.
The USD/JPY traded in a 30 pips range between 102.18 and 102.48, with offers above 102.50 up to 102.70 still proving too heavy to be absorbed. Gotobi demand near lows coupled with the Nikkei 225 bouncing off lows (+0.7%) on 'in line/slight miss' CPIs and US-Japan trade deal hopes.
The Australian and New Zealand Dollar were initially pressured toward supports at USD0.9250 and USD0.8550 respectively, before a modest 20 pips bounce in both pairs.
Main headlines in Asia
Tokyo core CPI at 22-yr high post sales tax hike
Still no TPP trade deal between US and Japan
Focus earlier in Asia was on the inflation figures out of Tokyo, with the April core CPI unsurprisnly printing a multi-decade high at 2.7% (YoY), 22-year high t be precise, following the sales tax hike from earlier this month. Despite the reading, it still missed expectation by 0.1 bp, thus proving hope for those supporting the BoJ ease trade.
The USD/JPY traded in a 30 pips range between 102.18 and 102.48, with offers above 102.50 up to 102.70 still proving too heavy to be absorbed. Gotobi demand near lows coupled with the Nikkei 225 bouncing off lows (+0.7%) on 'in line/slight miss' CPIs and US-Japan trade deal hopes.
The Australian and New Zealand Dollar were initially pressured toward supports at USD0.9250 and USD0.8550 respectively, before a modest 20 pips bounce in both pairs.
Main headlines in Asia
Tokyo core CPI at 22-yr high post sales tax hike
Still no TPP trade deal between US and Japan