Asian Session Recap
- Yen crosses took hits
- AUD and NZD fall on AU government’s rejection of investment
- German retail sales disappoints
The Aussie and the Kiwi started the day on the wrong side of the charts after Australian Treasurer Joe Hockey blocked Arthur Daniels’ takeover bid for Graincorp, an agricultural industry giant, saying that it would cut competition for growers. This translated to $2.55 billion foreign investment deal that would have been converted to AUD if it had been approved.
The rest of the Asian markets also picked up on the bad vibes. Nikkei fell back dropped 0.4% while other Asian equities also took a breather. As expected, this weighed on JPY pairs across the board.
The European currencies fared a little better although we’re starting to see exhaustion and a bit of profit-taking just above major technical levels. A miss in German data is pulling EUR/USD from the 1.3620 area while GBP/USD encountered resistance 25 pips away from 1.6400.
At 8:45 am GMT we’ll see France’s consumer spending numbers, followed by Switzerland’s KOF economic barometer report at 9:00 am GMT. Then, at 10:30 am GMT we’ll see the U.K.’s net lending and mortgage approval reports. Upside surprises for these reports could bring the sexy back for the pound, so ya’ll better watch out!
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!