15 Jul 2014
Asia Recap: RBA, BoJ fail to inspire
FXStreet (Bali) - The Asian session was dominated by the RBA minutes and the BoJ monetary policy decision, although both events, as expected, failed to inspire much moves in neither the AUD nor the JPY.
The AUD/USD was kept in a narrow range after the RBA minutes reiterated recent statements, incorporating nothing new for traders to price in the AUD. The exchange rate was given an early boost of 10/15 pips, but sellers camped around 0.94 round number disallowed further progress.
The USD/JPY started the Asian session extending the short term bullish tone, with the rise in the Nikkei 225 assisting the recovery. After the BoJ policy announcement, the 10 pips range between 10150-60 was maintained.
NZD/USD remains in a tight range still trading marginally above the 0.88 area but finding it hard to expand gains amid lack of economic releases that may act as triggers to see renewed flows entering the market.
The key event traders are awaiting this Tuesday is Yellen's testimony at 14GMT, with some sectors of the market speculating that a more hawkish tone may be adopted followign the last upbeat US jobs report.
That being said, according to Kathy Lien, Co-Founder at BK Asset Management, "we see more downside than upside opportunity for the dollar today but the smarter move may be to wait for Yellen to speak before taking action..."
The AUD/USD was kept in a narrow range after the RBA minutes reiterated recent statements, incorporating nothing new for traders to price in the AUD. The exchange rate was given an early boost of 10/15 pips, but sellers camped around 0.94 round number disallowed further progress.
The USD/JPY started the Asian session extending the short term bullish tone, with the rise in the Nikkei 225 assisting the recovery. After the BoJ policy announcement, the 10 pips range between 10150-60 was maintained.
NZD/USD remains in a tight range still trading marginally above the 0.88 area but finding it hard to expand gains amid lack of economic releases that may act as triggers to see renewed flows entering the market.
The key event traders are awaiting this Tuesday is Yellen's testimony at 14GMT, with some sectors of the market speculating that a more hawkish tone may be adopted followign the last upbeat US jobs report.
That being said, according to Kathy Lien, Co-Founder at BK Asset Management, "we see more downside than upside opportunity for the dollar today but the smarter move may be to wait for Yellen to speak before taking action..."