OctaFX | OctaFX Forex Broker
Open trading account

Flash: Could further yen weakness be harmful for Japanese living costs? – Deutsche Bank

FXstreet.com (Barcelona) - Bernanke's congressional testimony before the Joint Economic Committee this Wednesday will be the highlight in a week where we may learn more about the Fed's intentions with regards to potential QE tapering.

Indeed, Bernanke's speech will be made on the same day as the Fed publishes minutes from its Apr30th/May1st policy meeting which may shed some further light on the FOMC's deliberations with respect to asset purchases. In advance of Wednesday, Chicago Fed president Evans will be speaking today, followed by the NY Fed's Dudley and St Louis Fed's Bullard who will speak on Tuesday - all are voting members of the FOMC this year.

In addition, the Japanese yen is also in focus overnight after trading below the 102 mark during the Asian session. According to Macro Strategy Analysts J. Reid and C. Tan at Deutsche Bank, “The move followed comments from Japan's economy minister Mr Amari who said over the weekend that the yen's excessive strength has been largely corrected and that further weakness could be harmful in terms of living costs”. The USD/JPY has pared initial losses, but is now trading lower Monday.

AUD/USD supports the 0.9760 and trades back to 0.9780

The Aussie is trading sideways on Monday's session between in 0.9760 and 0.9790 with the AUD/USD currently pricing at the 0.9780 area.
Read more Previous

Flash: Crude oil maintains bearish outlook below the 97.1 resistance – RBS

Crude Oil remains bearish below the 97.1 resistance, which is formed by few Fibonacci levels.
Read more Next
Start livechat