Skip to Content
News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
More View More
US Dollar, Yen Surge as Market Mood Sours into the Weekend

US Dollar, Yen Surge as Market Mood Sours into the Weekend

Ilya Spivak,

Talking Points:

Risk aversion has gripped financial markets in the final hours of the trading week. The US Dollar is enjoying broad-based support from haven demand and the anti-risk Japanese Yen is likewise on the upswing. The sentiment-linked commodity bloc currencies bore the brunt of selling pressure, sinking alongside stock prices, with the Australian Dollar standing out as the weakest of the bunch.

A singular catalyst for the move does not prominently stand out, although ominous comments from ONS Chief Economist Joe Grice may have played a part in setting the tone. The head of the UK’s statistics office warned that it is too early to draw definitive conclusions about the health of the economy in the aftermath of the Brexit referendum, pouring cold water on optimism driven by a recent run of upbeat news-flow.

A relatively quiet economic calendar from here presents few barriers for established momentum to carry forward, pointing to a risk-off mood ahead. S&P 500 futures are pointing sharply lower, bolstering the case for follow-through. Volumes are noticeably thin however, lowering barriers to seesaw volatility.

Losing money trading in the FX market? This might be why.

Asia Session

GMTCCYEVENTACTEXPPREV
22:45NZDNet Migration SA (JUL)5600-5670
00:00USDFed's Kaplan to Speak in Dallas ---
03:00NZDCredit Card Spending (MoM) (JUL)2.3%--0.9%
03:00NZDCredit Card Spending (YoY) (JUL)5.6%-4.1%
04:30JPYAll Industry Activity Index (MoM) (JUN)1.0%0.9%-1.3%
05:30JPYNationwide Dept Sales (YoY) (JUL)-0.1%--3.5%
05:30JPYTokyo Dept Store Sales (YoY) (JUL)0.6%--3.2%

European Session

GMTCCYEVENTEXP/ACTPREVIMPACT
06:00EURGerman PPI (MoM) (JUL)0.2% (A)0.4%Medium
06:00EURGerman PPI (YoY) (JUL)-2.0% (A)-2.2%Medium
08:30GBPPublic Finances (PSNCR) (JUL)-2.1b (A)13.5bLow
08:30GBPCentral Government NCR (JUL)3.6b (A)20.0bLow
08:30GBPPublic Sector Net Borrowing (JUL)-1.5b (A)7.5bLow
08:30GBPPSNB ex Banking Groups (JUL)-1.0b (A)8.0bLow

Critical Levels

CCYSupp 3Supp 2Supp 1Pivot PointRes 1Res 2Res 3
EURUSD1.11751.12551.13051.13351.13851.14151.1495
GBPUSD1.28541.29901.30791.31261.32151.32621.3398

--- Written by Ilya Spivak, Currency Strategist for DailyFX.com

To receive Ilya's analysis directly via email, please SIGN UP HERE

Contact and follow Ilya on Twitter: @IlyaSpivak

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES