Australian Dollar trading broadly lower today after RBA kept interest rate unchanged. While there was no clear dovish shift, the statement suggests that RBA is starting to get ready for a move. Weakness in Aussie takes New Zealand Dollar lower too. Sterling is the third weakest so far after UK Parliament rejected all Brexit alternatives again. As for today, Swiss Franc is the strongest so far, followed by Yen and than Dollar. Technically, one development is note is the EUR/AUD recovers strongly after breaching 1.5721 low, suggesting recent consolidation is probably extending. Though, Euro is mildly vulnerable as EUR/USD is heading to 1.1176 low. Break will resume larger down trend from 1.2555 and could prompt selloff in Euro elsewhere. US 10-year yield jumped to close at 2.497 overnight, just missed 2.5 handle. USD/JPY rode on this and is on track to retest 112.13 resistance. In Asia, Nikkei closed up 0.03%. Hong Kong HSI is up 0.12%. China Shanghai SSE is up 0.29%. Singapore Strati Times is up 0.68%. Japan 10-year JGB yield is up 0.0079 at -0.07. Overnight, DOW rose 1.27%. S&P 500 rose 1.16%. NASDAQ rose 1.29%. 10-year yield rose 0.083 to 2.497. to-year yield rose 0.068 to 2.890. |
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