Asia Summary and Highlights 3 July
Market broadly upbeat after a miss in NFP
Asia Session
USD/JPY has been capped on Friday as market participants are concerned about "silent intervention". It looks like the latest tactic of no jawbone intervention has kept market participants frosty, but unlikely for long. The medium term bias remain north as rate expectation for BoJ is very reserved. USD/JPY is trading 0.02% lower at 161.07.
Market broadly upbeat after a miss in NFP. U.S. major equity indexes are outperformed by regional equities in Japan and Hong Kong. AUD/USD is trading 0.29% higher at 0.6942 on stronger precious metal. NZD/USD is trading 0.36% higher while USD/CAD slips 0.15%. Else, EUR/USD is up 0.18% and GBP/USD is up 0.2%.
North American session
The USD saw some recovery from its USD/JPY-led dip approaching the US employment release, but then fell on a weaker than expected report, staging only a partial recovery later in the session. Overall payrolls rose by only 57k in June and net of revisions to April and May were negative. Unemployment did fall to 4.2% from 4.3% but only because of a sharp fall in the labor force. Average hourly earnings were in line with expectations with a rise of 0.3%.
USD/JPY fell below 161 from above 161.50 before stabilizing just above 161. EUR/USD rose above 1.1450 from below 1.14 before stabilizing near 1.1435, EUR/GBP was little changed but EUR/CHF softer near .9190. EUR/JPY found support around 184. AUD/USD bounced above .69 to .6940 before correcting to .6920. USD/CAD fell below 1.42 to 1.4150 before correcting to 1.4185.