August 7: Asian session
EUR/USD is trading in the $1.3300 area after it rose there yesterday from $1.3260. The high during today’s Asian session was at $1.3315, below the high of Tuesday at $1.3323. Watch German industrial production data release at 10:00 GMT, an improvement’s expected.
GBP/USD made a bearish candle on Tuesday and was capped by the $1.5400. Today sterling is down around $1.5330. Analysts expect a volatile move in the pair today as the Bank of England releases inflation report and the central bank’s Governor Mark Carney speaks before parliament at 09:30 GMT.
USD/JPY extends the downside for a fourth day in a row, falling to a three-week low of 97.10. The pair fell despite the yesterday’s upbeat US trade figures. USD/CHF is consolidating in the 0.9240/60 range. USD/CAD is still trading below 1.0400. In Canada keep an eye on building permits (12:30 GMT) and Ivey PMI (14:00 GMT) – these are both important releases.
AUD/USD weakened in the Asian trade, but found some support at $0.8950. Data showed Australian home loans increased by 2.7% m/m (forecast: 2.2%). Tonight Australia is scheduled to release important labor market data (forecast – negative).
NZD/USD is consolidating in the $0.7885/0.7915 area. Yesterday’s release showed NZ unemployment rate increased to 6.4%, while employment rose in line with forecast by 0.4% q/q (previous: +1.7%). However, the kiwi stayed almost immune to these downbeat data.