Forex news from the European morning session 22 May 2015
News:
- Draghi says cyclical recovery is an opportunity to speed up reforms
- Draghi: ECB policy is not constrained by lower bound
- Stronger coordination of monetary policy between Europe and US is not a goal in itself says Bundesbank's Weidmann
- BOE's Shafik: Rates will rise more gradually than in previous cycles
- Germany's Jaeger says G7 does not plan a joint statement
- France's Hollande says Riga is not the place or time for UK renegotiations
- Merkel is looking forward to talks with Cameron
- Saxo Bank sue customers over SNB losses
- BOJ's Kuroda says Japanese economy continues to recover moderately
- Option expiries 10 am NY cut today 22 May
Data:
- German IFO business climate May 108.5 vs 108.3 exp
- Germany Q1 GDP qq 0.3% vs +0.3% exp
- UK PSNBR April GBP +6.0bln vs +7.9bln exp
- French business confidence May 97 as exp
- Italy industrial orders March mm -0.3% vs +0.7% exp
- March 2015 Italian retail sales -0.1% vs 0.2% exp m/m
- Nikkei closes up +0.3% at 20,264.41
A quieter morning but one that's seen the euro make some solid gains with the pound on the back foot after yesterday's rally ran out of puff
EURUSD has been up to 1.1209 from 1.1140 helped by better German IFO but little more than position squaring while similarly EURGBP has been up test offers at 0.7165 from 0.7105 as GBPUSD once again retreated from 1.5700 to post 1.5116 so far
EURJPY has been up to 135.35 while USDJPY picked up a bid on the back of it to post 120.98 from 120.75.
USDCHF had lows 0.9285 from 0.9340 as EURUSD rallied but has reversed on the latter's retreat while USDCAD has perked up to 1.2214 after finding support around 1.2180 again
AUDUSD is still being pinned down by the option expiry today at 0.7920 but once again finding support around 0.7880 while NZDUSD has forged a steady path from 0.7390 to 0.7358 as I type
US and Canadian CPI coming up soon with a whole heap of central bank speakers after that.
Could be a interesting end to the week
