Jan. 20: MARKET OVERVIEW
FXBAZOOKA.com - China’s GDP figures came higher than expected: the nation’s economy grew by 7.3% in Q4 (same as in Q3) vs. 7.2%. But growth still hovered around weakest levels since the global financial crisis, keeping pressure on policymakers to prevent a sharper slowdown.
USD/JPY rose as demand for safe haven yen declined, and traders covered short positions. US dollar rose to 118.50 approaching resistance at 118.75 (top of the daily Ichimoku Cloud).
AUD/USD, however, is trading on the downside probing levels below 0.8200. Aussie fell as BlackRock Inc., the world’s biggest money manager, said it sees the currency slumping 15% this year.
NZD/USD is down for the third day ANZ cut its milk-payout forecast for New Zealand’s Fonterra Cooperative Group Ltd., the world’s biggest dairy exporter. New Zealand will release inflation data tonight (negative forecast).
EUR/USD is trading below 1.1600. The euro remained under pressure ahead of possible easing steps by the ECB as early as this week. Watch upcoming data from Germany: