TALKING POINTS – RBA, LOWE, YEN, US DOLLAR, AUSTRALIAN DOLLAR, STOCKS
- Aussie Greenback leads commodity FX decrease as RBA’s Lowe spooks markets
- Japanese Yen and US Dollar rise, reveling in renewed anti-risk demand
- FTSE 100, S&P 500 futures trace risk-off push prone to see follow-through
Ominous comments from RBA Governor Philip Lowe despatched overseas alternate markets scrambling in Asia Pacific commerce. The Australian Dollar led sentiment-linked commodity bloc currencies decrease whereas the anti-risk Japanese Yen outperformed. The similarly-minded US Greenback additionally rose.
Mr Lowe backtracked on the heretofore ubiquitous chorus that the following transfer for rates of interest is prone to be up, the outlook is now “extra finely balanced”. That’s an attention-grabbing acknowledgement of the downshift in international progress prospects, significantly after yesterday’s seemingly rosy RBA policy statement.
YEN, US DOLLAR AIM HIGHER IN RISK-OFF TRADE
Wanting forward, the downbeat temper appears to be spilling over into broader monetary markets. Futures monitoring the bellwether FTSE 100 and S&P 500 fairness benchmarks are pointing decidedly decrease, hinting the risk-off temper is prone to stay after markets in London and New York come on-line.
That hints APAC-session buying and selling patterns have scope for follow-through. A lackluster providing of scheduled occasion threat appears to supply few releases potent sufficient to derail established momentum, clearing the best way for JPY and USD to proceed constructing broadly larger.
What are we buying and selling? See the DailyFX staff’s top trade ideas for 2019 and discover out!
ASIA PACIFIC TRADING SESSION
EUROPEAN TRADING SESSION
** All instances listed in GMT. See the full economic calendar here.
FX TRADING RESOURCES
— Written by Ilya Spivak, Foreign money Strategist for DailyFX.com
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