Europe Summary and Highlights 22 September
The USD traded mostly lower through the European morning, with EUR/USD gaining 35 pips and USD/JPY losing 35 pips.
European morning session
The USD traded mostly lower through the European morning, with EUR/USD gaining 35 pips and USD/JPY losing 35 pips. GBP also made ground against the USD but EUR/GBP edged up 10 pips to 0.8720. AUD/USD was only marginally firmer at 0.6595, while USD/CAD gained 10 pips to 1.3808. The EUR also gained slightly against the CHF and NOK, but was unchanged against the SEK.
There was no data or news of any significance and equity indices and yields were both marginally lower.
Asia session
The Japanese equity market rebound after a slump last Friday after BoJ announced their plan to shrink their balance sheet on ETFs and J-REITS. Market participants are unfazed as current magnitude and pace of BoJ selling schedule indicates it will be spreading out throughout a century. USD/JPY is trading 0.21% higher at 148.27.
The broad risk sentiment is tilting north on Monday. There hasn't been much headline so far and we are only seeing major movement in the Japanese and Hong Kong equity market where they perform individually. U.S. major equity indexes are all in the green. AUD/USD has retraced earlier losses on RBA governor's remark and see it trading 0.02% higher at 0.6594, NZD/USD is trading 0.02% at 0.5857 after opening higher while USD/CAD rises 0.14%. Else, EUR/USD is down 0.11% and GBP/USD is down 0.06%.