Pip Diddy

The lack of top-tier data from the U.S. economy gave the Greenback a mixed performance, advancing to the European currencies then sliding against the yen and comdolls.

Risk-taking was the name of the game during Monday’s morning London session, so the higher-yielding Aussie and Kiwi were in demand while the yen and the Swissy got dumped.

The Greenback gave up some of its gains against its major counterparts, as a bit of risk appetite hit the Asian bourses following last Friday’s NFP release.

Aussie strength followed by Greenback strength and yen strength, as well as pound weakness were the main themes during the trading week. So, what was driving forex price action this week?

It was relatively quiet in the forex front. Trading conditions tightened and directional movement was limited during the morning London session, as forex traders hunkered down for the NFP report. The pound was climbing higher, though, probably due to profit-taking by pound shorts.

A pretty subdued day for the major currencies, as Asian session forex traders await the monster NFP report coming up. So what exactly happened during the Asian session?

U.S. session traders reacted quickly to the BOE’s decision to cut rates and increase bond purchases, but commodity price action eventually stole the spotlight.

All eyes were on the pound during the morning London session, especially since the BOE delivered on a highly-anticipated rate cut and more. What else did the BOE do and how did the pound react?

It was a topsy-turvy trading session for the major currencies, as risk appetite got capped by weaker-than-expected data and profit-taking ahead of today’s events.

The Greenback refused to be outdone by its forex rivals in the latest New York session, as it rallied on the heels of upbeat data and risk aversion.