- US Senate confirms Janet Yellen as new Fed Chairwoman
- AU trade balance at -$118M vs. -$300M expected
- German retail sales rises by 1.5% in November vs. 0.5% uptick expected
- Nikkei closes down 0.59%
Yellen’s confirmation as the new Fed head didn’t get a blockbuster effect as investors had already priced it in. In fact, price action during the Asian session was mostly muted. USD/JPY and USD/CHF remained in tight ranges while EUR/USD and GBP/USD gave back around 20-30 pips worth of gains.
Australia’s trade data also didn’t get much attention. We only saw a $118M trade deficit (instead of the expected $300M figure) thanks to a 1% decline in imports and a flat reading for exports. The Aussie didn’t get much action from it as AUD/USD slowly slid by 40 pips max while AUD/JPY remained in a 30-pip range.
Let’s see if Germany’s reports will provide volatility during the London session. A few minutes ago Germany printed a better-than-expected retail sales report for November. We’re not seeing significant reaction for now though, probably because traders are waiting for Germany’s employment change figures at 9:55 am GMT.
Analysts expect to see a net employment change of -1K, which is weaker than last month’s 10K increase. Then, at 11:00 am GMT we’ll see the euro zone’s flash inflation estimate, which is expected to remain at 0.9% as last month.
Bonnie and Clyde, peanut butter and jelly, Justin Bieber and his hair. Some things just go well together.
Head on to Big Pippin’s Daily Chart Art for some pip-locking technical setups!