- Japanese markets out on Vernal Equinox Day holiday
- U.K. Rightmove house price index up by 1.3% vs. 2.0% growth in February
The dollar continued to lose pips against its major counterparts as Asian session forex traders caught up to last Friday’s price action. Here’s what’s up!
More dollar weakness – With not a lot of fresh catalysts on the docket, Asian session forex traders concentrated on pricing in last week’s top movers. Specifically, they caught up to the dollar selloff that happened after the FOMC statement didn’t turn out to be as hawkish as many had expected.
Focus will turn to the Fed officials this week, as 11 of them including Evans, Kaplan, Kashkari, Dudley, and Yellen are all scheduled to give speeches.
Remember that odds of a March rate hike shot up quickly thanks to hawkish speeches by FOMC members, so y’all better keep close tabs on this week’s rhetoric to see if they’ll stick to their hawkish biases or backtrack a bit and start pushing for slower pace of rate hikes this year!
Lower oil prices – The Black Crack slipped a bit during the Asian session after last Friday’s Baker Hughes report showed the U.S. oil rig count hitting its highest levels since September 2015.
Reaction was relatively muted though, thanks to increasing speculations that OPEC will extend its output cut deal past its June expiry date.
In any case, Brent crude oil slid by 0.66% to $51.42 while U.S. crude oil prices also slipped by 0.79% to $48.92.
USD – The Fed’s not-so-hawkish statement continued to weigh on the dollar. Not only that, but a weak Wall Street close also limited the demand for the Greenback.
EUR/USD inched 19 pips (+0.18%) higher to 1.0759 while USD/JPY dipped by 10 pips (-0.09%) to 112.54 and USD/CHF sustained a 13-pip decline (-0.13%) to .9965.
It also lost pips to the comdolls with AUD/USD rising by 18 pips (+0.23%) to .7718, USD/CAD falling by 21 pips (-0.16%) to 1.3324, and NZD/USD popping up by 19 pips (+0.27%) to .7037.
- 7:00 am GMT: German PPI (0.4% expected, 0.7% previous)
- 11:00 am GMT: Germany’s Bundesbank monthly report
Bonnie and Clyde, peanut butter and jelly, Kanye West and Kanye West. Some things just go well together.
Head on to Big Pippin’s Daily Chart Art for some pip-locking technical setups!