Forex news from the European morning session 18 Dec
- Kuroda says today's BOJ action wasn't additional easing
- Kuroda says BOJ wants to lower the entire yield curve
- BOJ's Kuroda says economy continues to recover moderately
- More from Kuroda: Extended duration of JGB portfolio is to ensure smooth purchases under QQE
- Still more from Kuroda: BOJ didn't wait for Fed to act before making changes
- Japan's Amari says BOJ steps are in line with government/BOJ joint statement on monetary policy
- Japan's Suga says they will continue to monitor market moves
- Captain Kuroda sinks the dollar
- Nikkei back in negative territory after the BOJ roller coaster ride
- ECB actions have been bang on the money says Nowotny
- PBOC confirms it has added liquidity through MLF operations today at 3.25%
- Ukraine defaults on Russian $3bn bond - Bloomberg
- Corporate sellers get tired of waiting on EURUSD
- Year-end flows in play but what does it all mean?
- Indian 2015/16 GDP growth seen between +7 to +7.5%
- Our man Adam will be delivering 2016 forecasts at 14.00 GMT
- Option expiries 10am NY cut today 18 Dec
- ForexLive Asia-Pacific FX news wrap: BOJ rollercoaster
- Eurozone current account Oct SA €+20.4bln vs €30.1bln prev
- France PPI Nov mm +0.1% vs +0.2% prev
- Italy hourly wages Nov mm +0.2% vs +0.1% prev
- Nikkei 225 closes down -1.9% at 18,986.80
It's been a busy one to say the least after the BOJ sent out a curve ball that yen pairs first soar then plunge and it's been reverberating all session.
Too many twists and turns to record every one ( just look at your 5 minute charts) suffice to say it's been rapid, thin and somewhat dangerous.
USDJPY has been in solid retreat for the most part as traders unwound short-yen positions and we've seen 121.06 so far with 121.50 now becoming pivotal. Yen pairs have seen similar downward pressure and EURJPY declines to 131.03 prompting EURUSD unloading from corps along the way. EURUSD tumbled to 1.1805 from 1.0855 in rapid time but large option expiry support is providing a good base and springboard to 1.0836 as I type.
Elsewhere we've also seen USD demand with cable failing at 1.4950 and testing 1.4900 support and with these moves on core pairs we've also seen EURGBP fall to 0.7240 after failing again into 0.7280 in Asia.
USDCHF has found supply through EURCHF selling and some safe-haven demand generally while USDCAD has drifted off to post 1.3910 as oil prices firmed but has since risen again to 1.3971.
AUDUSD and NZDUSD have been caught up in the cross-play crossfire with large option expiries also casting their shadow here too.
It's looking a bit ugly and caution is once again advised.