NFPs Could Prove More Important for EURUSD, USDJPY than BoJ, ECB
A massive stimulus upgrade by the Bank of Japan, a hold by the Bank of England and early dovish talk from the European Central Bank led to serious volatility in the FX market. However, the volatility seen through the Yen, Pound and Euro on this past session's fireworks may pale in comparison to the upcoming NFPs release. The routine volatility response to the monthly US employment report isn't the concern. The now overt conversation amongst Fed officials about the end of QE3 has equity and currency traders weighing the risk implications and money supply implications of timing the central bank's wind down of the world's largest, open-ended program. We discuss the stimulus and risk trends conditions along with the FX trade scenarios in today's video.
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DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.