Asia Session Recap

Daily Forex Fundamentals | Written by Forex.com | Sep 21 09 05:41 GMT |

The bank holiday in Japan set the tone for the session, a quiet beginning to what could end up being a very busy week that will be highlighted by some top tier data. Although the three day Japanese holiday should keep the action in Asia toned down, the US FOMC meeting, Unemployment, and Home Sales should keep the week very interesting, with the G-20 Meetings that begin on Thursday being the grand finale. Today's day began with the British Pound opening about 50 pips lower than Friday's settle near 1.6270. With the Bank of England under the microscope as of late it has been easier to find fault with current policies and shortfalls of those policies. The scrutiny has been harsh on the Pound to say the least. Traders took the GBP/USD to under 1.6210 and later to a high of 1.6262, but ultimately the pair was flat for the day after the ride. EUR/GBP opened to a five month high near .9065 on the cable weakness, but the pair later settled down near 0.9045, only slightly higher than Friday's close. Otherwise in Asia, the US Dollar made some negligible gains against the Euro, crawling to about a 25 pip gain for the day near 1.4680. Against the Yen the Dollar also continued its path higher, breaking through 91.75 in late session trading. A horde of Yen sellers helped push the crosses higher as London prepared for its Monday morning. Further south in the Pacific, the high flying and yielding Aussie and Kiwi Dollar also were persecuted by the mild wave of Dollar strength. The low in AUD/USD was near 0.8645 as of this report. With the Dollar's dramatic slide over the past few months, many traders are setting their sights on this Thursday's FOMC meeting to find possible clues that may offer the Dollar a reprieve. While no rate movement is expected, Chairman Bernanke could drop hints to the Federal Reserves current course of action. Upcoming Economic Data Releases (London Session): 9/21/2009 3:00 NZ Credit Card Spending (YoY) AUG -2.00% - - 9/21/2009 10:05 UK Bank of England's Sentance to Make Speech 21-Sep 9/21/2009 12:30 CA Int'l Securities Transactions JUL 10.511B - - Forex.com http://www.forex.com DISCLAIMER: The information and opinions in this report are for general information use only and are not intended as an offer or solicitation with respect to the purchase of sale of any currency. All opinions and information contained in this report are subject to change without notice. This report has been prepared without regard to the specific investment objectives, financial situation and needs of any particular recipient. While the information contained herein was obtained from sources believed to be reliable, author does not guarantee its accuracy or completeness, nor does author assume any liability for any direct, indirect or consequential loss that may result from the reliance by any person upon any such information or opinions.