Asian Session Forex Recap – Mar. 7, 2016

  • Australia’s AIG construction index down to 46.1 vs. 46.3 last month
  • Australia’s ANZ job ads down by 1.2% vs. 0.9% uptick last month
  • Japan’s leading indicators down from 102.1% to 101.4% vs. 101.6% expected

Forex traders started the trading week with a snoozer, as the major currencies barely moved from their weekly open prices. What’s up with that?!

Major Events:

Mixed market sentiment – Asian session market players barely touched their buy and sell buttons, as they digested headlines from last Friday and over the weekend.

Aside from the not-so-awesome NFP report, they also have to weigh in China’s National People’s Congress setting its GDP target range between 6.5% – 7.0% for 2016, which would mark the slowest expansion in 25 years. It also didn’t help that a bit of risk aversion boosted the yen across the board.

Another positive session for oil – Oil traders were happy enough to continue last Friday’s price action. As I mentioned in my U.S. session recap, a drop in U.S. oil rigs had boosted the Black Crack’s prices. Brent crude oil is currently up by 1.65% while U.S. oil is 1.92% higher than its open price.

Major Currency Movers:

JPY – The low-yielding yen took advantage of a slight risk-averse vibe in the markets.

USD/JPY fell by 33 pips (-0.29%), EUR/JPY slipped by 33 pips (-0.26%), GBP/JPY dropped by 47 pips, and AUD/JPY inched 11 pips lower (-0.11%).

Watch Out For:

  • 7:00 am GMT: German factory orders (-0.4% expected vs. -0.7% previous)
  • 8:00 am GMT: Switzerland foreign currency reserves
  • 9:30 am GMT: Euro Zone Sentix investor confidence

See more:

U.S. Session Forex Recap

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