Asia Summary and Highlights 8 May
USD/JPY up three days in a row and drew verbal intervention from Japanese finance minister
Asia Session
USD/JPY is up three days in a row and regained the 155 handle. Japanese finance minister restart their verbal intervention while Ueda casually pouring cold water by saing "Doesn't see yen moves as having a big impact on trend inflation so far". U.S. Treasury Yields are higher across the curve while JGB yields recovered the opening gap. USD/JPY is trading 0.31% higher at 155.17.
Regional sentiment is broadly soft on Wednesday and USD is solid so far. Aussie continues the weakness post RBA and drift lower. AUD/USD is down 0.31% to 0.6577, NZD/USD also 0.18% lower at 0.5991 while USD/CAD rose 0.2% to 1.3753 as oil slips half a percent. Else, EUR/USD is down 0.14% and GBP/USD is down 0.17%.
North American session
The USD saw some early slippage in North America, but ended stronger as equities gave up earlier gains before stabilizing. USD/JPY pushed up to a high of 154.75. There was not much news. Fed’s Kashkari sounded quite hawkish but March consumer credit was weaker than expected with a rise of $6.27bn.
GBP and CAD were particularly weak, GBP/USD testing 1.25 after reaching 1.2570 and USD/CAD rising to 1.2725 from 1.2675. EUR/USD was more resilient finding support near 1.0750 as EUR/GBP tested .86. AUD/USD found support near its earlier low of .6587 as AUD/CAD moved above .9050.