London Session Recap – April 8, 2014

  • Swiss Retail Sales better-than-previous: 1% vs. -0.1% previous
  • U.K Manufacturing Production m/m: 1.0% vs. 0.3% forecast/previous
  • U.K. Industrial Production m/m: 0.9% vs. 0.3% forecast, 0.0% previous

Global equity markets are seeing nothing but red (Nikkei 225 -1.36%, FTSE 100 -0.88%) during the Tuesday session, possibly on the news the Bank of Japan will not do anything with monetary policy.  With no increases in easy money in the works for now from the BOJ, the Japanese Yen is obviously the big benefactor of both policy inaction and the negative sentiment it produced.  USD/JPY is down 80 pips (-0.77%) to 102.29, EUR/JPY is down by 73 pips (-0.50%) to 140.86, and CHF/JPY is down 29 pips (-0.50%) to 115.50.

The positive manufacturing data in the U.K. helped the British Pound escape broad selling as Sterling is holding up very well against the majors: GBP/USD is up 109 pips (+0.66%) to 1.6712, EUR/GBP is down by 24 pips (-0.30%) to .8241, and GBP/JPY is only down 11 pips (-0.07%) to 171.05.

The comdolls are without a catalyst this morning, but they’re up big against most of their major counterparts, especially the Aussie and Kiwi: AUD/USD is up 66 pips (+0.71%) to .9334 and NZD/USD is up by 69 pips (+0.82%) to .8670.

The economic calendar for the rest of the Tuesday session is pretty light with only Canadian data to spark up action.  We just got the Canadian Housing Starts number just a 1:15 pm GMT, coming in at 156.8K vs. 192K forecast. The Canadian Building Permits number came out a few minutes later, worse-than-expected at  -11.6% vs. -2.6% forecast and 8.5% previous.  The Loonie isn’t seeing much volatility from the news, but it’s something to be aware of.

And finally, various central bank figures from both the European Central Bank and the Federal Reserve will be giving speeches throughout the day.  Don’t expect big volatility, but be alert in case we get unexpected jaw boning from any of them.

See also:

Asian Session Recap

U.S. Session Recap

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