Asian Session Recap – Sept. 8, 2014

  • GBP gaps down on possibility of Scottish independence
  • Japanese current account surplus at 0.10T JPY vs. 0.18T JPY estimate
  • Japan’s Economy Watchers sentiment index down from 51.3 to 47.4
  • Nikkei closed 0.23% higher for the day
  • Australia’s ANZ job advertisements up by 1.5% in August
  • Chinese trade surplus at 49.8B USD vs. 40.8B USD expected
  • Swiss unemployment rate, CPI, and retail sales data due

Did the pound put on more weight or what? The British currency opened lower against its forex counterparts over the weekend, as the looming possibility of Scottish independence spelled downbeat prospects for the U.K. economy. GBP/USD kicked off at 1.6198 today after closing at 1.6329 on Friday while GBP/JPY started the week at 169.98.

Over in Japan, data came in much weaker than expected, as the current account surplus came in at 0.10 trillion JPY versus the estimated 0.18 trillion JPY figure and the previous 0.13 trillion JPY surplus. Not surprisingly, the Economy Watchers sentiment index slipped from 51.3 to 47.4, reflecting a pessimistic outlook. However, the yen and the Nikkei appeared unfazed by these bleak figures, as the equity index managed to close with a 0.23% gain for the day.

Australia’s economic reports were a little more upbeat, as ANZ reported a 1.5% increase in job advertisements for August, much stronger compared to the previous 0.5% gain. China’s trade surplus also added support for the Aussie, as the figure came in at 49.8 billion USD, higher than the estimated 40.8 billion USD surplus. AUD/USD is holding steady at the .9370 area while AUD/JPY is holding on to the 98.50 handle.

The Swissy could be the star of the show in today’s London trading session, with Switzerland’s jobless rate, CPI, and retail sales data up for release. The unemployment rate is slated to hold steady at 3.2% while the CPI might print a 0.1% decline in price levels. Swiss retail sales is expected to improve from an annualized 3.4% reading in June to 3.7% in July. Do watch out for the release of the U.K. Halifax HPI and German trade balance as well! See also:

U.S. Session Recap

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