Pip Diddy

A positive business survey from Japan pushed the yen a bit higher across the board, though price action is generally limited due to the upcoming FOMC statement.

Major currency pairs took shelter in their ranges in the calm before the FOMC storm as there were no major reports released.

Tight trading conditions persisted into today’s morning London session. However, the euro was clearly weaker across the board while the pound got bid broadly higher.

Forex price action was as tight as my non-holiday pants, as Asian session traders brace for this week’s major events.

The lack of economic reports from Uncle Sam left the Greenback in a weak spot against its rivals as traders priced in their expectations for this week’s FOMC statement.

The euro continued its recovery after last week’s plunge. Retreating oil prices during the morning London session, meanwhile, apparently put an end to the Loonie’s bullish party.

The Canadian dollar was the biggest mover of the Asian forex trading session, thanks to a weekend deal by non-OPEC members to cut their production.

We had a rather busy week, buy the main themes for this week were the reversal of fortune on the pound, another good week for the Loonie, and (gasp!) yet another week of yen bashing. So, what was driving forex price action on these and the other currencies?

Risk sentiment drove price action for the most part during today’s morning London session. However, Brexit-related news resulted in the pound getting pushed this way and that. The ECB’s policy decision from yesterday, meanwhile, was still apparently weighing down on the euro.

Ho-hum. With not a lot of data on the docket, the major forex pairs traded on tight ranges for most of the Asian session.