Europe Summary and Highlights 6 Jan
The USD gained a little ground through the European morning, primarily against the riskier currencies.
European morning session
The USD gained a little ground through the European morning, primarily against the riskier currencies. EUR/USD lost 30 pips to 1.1710, with GBP and AUD keeping pace, while USD/JPY rose only around 20 pips to 156.50. Otherwise, NOK/SEK gained 25 pips to 0.9175.
European data was slightly on the soft side of consensus, with both French and German inflation numbers coming in slightly below expectations, and the final Eurozone PMI revised lower, mainly due to weakness in Italy.
Asia session
The broader risk sentiment is upbeat on Tuesday as we see both regional and U.S. major equity indexes all in the green. HSI is leading with almost 2 percent gains and one percent for Nikkei and CSI. Metals are also performing in the Asia session. And is seen supporting the AUD/USD to trade 0.17% higher at 0.6726, NZD/USD is also trading 0.18% higher while USD/CAD slides 0.07%.
USD/JPY was edging north in the early Asia hours. But as the Japan monetary base numbers were released, it caught market participants' concern it is falling. 2yr JGB yields are still hovering at level not seen in decades despite opened lower on Tuesday while 10yr JGB yields are rising strongly. USD/JPY is trading 0.05% higher at 156.41 after touching a session high of 156.79. Else, EUR/USD is up 0.06% and GBP/USD is up 0.04%.