Forex Today: USD/JPY cheers risk-on, German ZEW, UK CBI on tap

Forex today witnessed yet another quiet Asian session, as the economic calendar was absolutely data-dry, offering little trading impetus across the financial markets. Among the Asia-pac currencies, the Yen emerged the weakest, as markets corrected a part of yesterday’s rally amid improved risk sentiment, while higher Treasury yields also provided the much-needed respite to the USD/JPY pair. The Antipodeans defended the bids, as broad based US dollar strength overshadowed modest gains seen in oil and copper prices.

Meanwhile, the Asian traders digested Trump’s overnight plans announced to increase US military presence in Afghanistan contrary to his campaign pledge, while the North Korean tensions took a temporary back seat.

Main topics in Asia

Top US military commanders to issue warning to North Korea - Yonhap

As per Yonhap report, “three top U.S. military commanders plan to issue a strong warning message to North Korea in rare joint press availability here [South Korea] later today”. 

Brexit: Chinese investment in London commercial property tripled since referendum - Reuters

As per Reuters report, “Chinese investment in London commercial property has more than trebled since Britain voted to leave the European Union, most of it channelled through Hong Kong. 

Japan’s Ticket Camp accepts Bitcoin as a form of payment

Bitcoin continues to gain ground in the day-to-day life in Japan. Major customer-to-customer ticket exchange marketplace, Ticket Camp, now accepts the virtual currency as a form of payment.

Kuwait OilMin: OPEC will discuss extending or ending output cuts at November meeting

Kuwait Oil Minister was out on the wires earlier today, via Kuwait TV, noting that the OPEC will discuss extending or ending production cuts at November meeting.

Key Focus ahead

Later today, we have the Swiss trade balance due to be reported ahead of the European opening bells, while the European session sees the releases of the German and Eurozone ZEW surveys. From the UK docket, the public sector net borrowing and CBI industrial order expectations data will be published.

During the NA session, the Canadian retail sales data will hog the limelight, as the US docket offers a couple of second-liner data in the HPI and Richmond manufacturing Index.

EUR/USD - Focus on trend line hurdle & Zew survey, risk reversal remain negative

The EUR/USD rose to 1.1828 on Monday following the last week’s repeated failure on the part of the bears to keep the pair below 1.1720 levels. 

GBP/USD awaits range breakout, eyes CBI data

GBP/USD regained bid tone on Monday as suggested by the options activity, although the bullish move ran out of steam near Friday’s high of 1.2918. 

Market movers for the week ahead - Rabobank

This week’s data calendar certainly leaves a lot of room for other events, be it political, monetary or, indeed, of a super-human nature, according to Elwin de Groot, Head of Macro Strategy at Rabobank.