Market Roundup
- EUR/USD hits offers above 1.10 but looks contained above 1.0960.
- USD/JPY tight, 121.50-121.80 covers Asia/Europe action.
- New trend and 15-year high for Nikkei, Shanghai strong too.
- BoJ Gov Kuroda - Inflation to accelerate in H2'15, 2% around H1'16.
- IMF - Will take longer than BoJ things for Japan to hit 2% inflation target.
- Greek IntMin Voutsis - Greece could default on June IMF repayment.
- BoE confirms EU exit research after e-mail misfire.
- Swedish policy impasse raises fears of runaway housing market.
Economic Data Ahead
No Economic data schedule for the day ahead
Key Events Ahead
- (1245 ET/1645 GMT) FOMC member Fischer Speech
FX Recap
EUR/USD is supported below 1.1000 and currently trading at 1.0975 levels. It has made intraday high at 1.1008 and low at 1.0957 levels. In the same direction, the uncertainty surrounding Greece and the debt talks with its EU creditors keeps growing bigger amongst traders in light of the repayments due in the upcoming days. The USD is appreciating against major pairs after solid USD CPI data released on last Friday. Today European markets remain close in observance of Whit Monday. Initial support is seen at 1.0859 and resistance is seen around 1.1041 levels.
USD/JPY broke the 121.00 levels and posted a daily high at 121.76 levels and low at 121.47 levels. Pair is currently trading at 121.53 levels. The USD strengthened against the JPY after the better than expected USD CPI numbers released last Friday. Japan recorded a merchandise trade shortfall of ¥53.4 billion in April, the Ministry of Finance reported on Monday, wiping out the ¥229.3 billion surplus seen in March, which was the first surplus since June 2012. Near term resistance is seen at 122.10 levels and support is seen at 121.10 levels.
GBP/USD is trading around at $1.5491. It made an intraday high at 1.5506 and low at 1.5457 levels. Today is bank holiday in UK for the observance of the Spring Bank Holiday. Meanwhile, Fed's Fischer speech will be awaited amid a holiday-thinned trading session. Initial support is seen at 1.5445 and resistance is seen around 1.5537 levels.
USD/CHF is supported above 0.9400 levels and trading around 0.9430 levels and made intraday low at 0.9404 and high at 0.9449 levels. Today was data free session for Switzerland. Swiss banks will be closed in observance of Whit Monday. Near term support is seen at 0.9285 levels and resistance is seen at 0.9571 levels.
AUD/USD is supported below 0.7900 levels and trading nearer to high at 0.7835 levels. It has made intraday high at 0.7838 levels and low at 0.7802 levels. Today is data free session for Australia. Better than expected US CPI as well as Core CPI data helped the parity to sustain below 0.7900 levels. Initial support is seen at 0.7785 and resistance at 0.7976 levels.
