Forex news from the European morning session 24 Nov
News:
- Russian plane downed by Turkish forces on Syrian border
- One pilot dead and one captured after Russian plane shot down
- Downing of Russian plane a very serious incident says Kremlin
- Turkey says jet downing was not an action against any specific country
BOE:
- More from Carney: It is appropriate to tighten monetary policy
- There is evidence that wage growth is slowing says BOE's Haldane
- More from Carney: UK likely to remain in low interest rate environment for some time
- BOE looks through energy prices but FX is more complicated says Carney
- Carney: Productivity may be running higher than forecasts
- BOE's Carney says pressure on central bank independence has increased in recent years
- One intention for low rates is to encourage consumption says Carney
Other stories:
- RBA's Stevens says the effects of AUD fall are proving a bit too slow to come through
- Pay rises all round says ABE
- IFO's Wohlrabe says latest results show that German consumption continues to perform well
- ECB's Nouy says banks did better in H1 2015
- German economic growth is coming via weak euro and the price of oil
- China's securities regulator changes the rules on brokerage proprietary trading
- Volkswagen under investigation for tax evasion in connection with the emissions scandal
- Option expiries 10am NY cut today 24 Nov
Data:
- German Q3 GDP final qq SA +0.3% vs +0.3% exp
- German November IFO business climate 109 vs 108.2 exp
- UK CBI distributive trades survey Nov 7 vs 25 exp
- France business confidence Nov 102 vs 101 exp
- Nikkei 225 closes up +0.23% at 19,924.89
It's been another bad day at the office for the pound on dovish BOE talk and poor retail sector data, but in a session of German GDP and IFO we've had other news to contend with over a Russian plane being shot down.
Markets have been understandably skittish and we've seen a variety of moves including EURUSD up to 1.0670 after better IFO and softer equity markets which also saw EURGBP rise to 0.7054 before both ran into fresh sellers and retreating
The EURGBP demand was the start of the rot for GBPUSD which fell through support at 1.5150 to post 1.5110 before running into good demand into 1.5100 but the rally back through 1.5130 was short lived and those BOE comments have undermined it since. Support at 1.5100 still holding for the moment but it looks heavy still. Similar story on pound pairs across the board
The Russian plane story has made the headlines but only gave a minimal wobble to USDJPY and USDCHF sending the former through strong support/demand at 122.50 to post 122.40 only to bounce back while USDCHF dipped to 1.0170 from 1.0185
The Aussie $ had a small wobble of its own on comments from Stevens posting 0.7190 from 07210 before recovering its poise just as rapidly while USDCAD is also still ranging between 1.3325-75 after yesterday's oil-led fun and games
NZDUSD has been in general decline toward 0.6500 support from 0.6530 with AUDNZD demand cited after Steven's overall comments were perceived as being generally upbeat
US Q3 GDP provisional reading at 13.30 GMT now takes the attention with HPI and consumer confidence into the mix after
These are uncertain times and the markets are reflecting that
Caution advised
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.