- Japanese economy contracted by 0.4% in Q2 vs. -0.5% forecast
- U.K. Rightmove HPI down by 0.8% in Aug
- Swiss retail sales report due
Manic Monday? Quite the contrary! Forex pairs were off to a slow start this week since traders are probably holding out for the bigger catalysts later on. A few hours back, Japan printed its Q2 GDP reading and showed that the economy shrank by 0.4%, slightly better than the projected 0.5% contraction. Components of the report showed a decline in exports, investment, and consumer spending, suggesting weaker economic prospects for Japan in the coming months.
Yen pairs shrugged off this release, as USD/JPY continued to trade sideways around 124.40 (+0.05%) and EUR/JPY managed to hold on to 138.00 (+0.02%). AUD/JPY is sitting tight at 91.70 (+0.01%), NZD/JPY is cruising at 81.35 (+0.07%), and GBP/JPY is enjoying a bit of upside at 194.70 (+0.18%). Earlier today, the U.K. printed its Rightmove HPI and actually showed a 0.8% decline in house prices for August.
Dollar pairs are also treading carefully, with EUR/USD struggling to stay above 1.1100 (-0.06%) and GBP/USD consolidating around 1.5650 (+0.10%). Comdolls are looking a tad weaker, with traders possibly pricing in expectations of further commodity price tumbles this week.
Up ahead, forex junkies could spot a few scalping opportunities from the release of the Swiss retail sales (8:15 am GMT) and euro zone trade balance (10:00 am GMT). Swiss retail sales could show an annualized 0.6% decline in June, an improvement from the previous 1.8% year-over-year drop in May.
Bonnie and Clyde, peanut butter and jelly, Kanye West and Kanye West. Some things just go well together.
Head on to Big Pippin’s Daily Chart Art for some pip-locking technical setups!