Forex: GBP/USD extends the decline below 1.5100

FXstreet.com (Barcelona) - The sterling breached the key 1.5100 figure overnight, hovering over session lows around 1.5080 following the soft tone in the risk trends on Wednesday.

The UK docket lacks of appeal today, as Construction PMI and the BoE Credit Conditions are only due. Market consensus expects the PMI print to rise to 47.5 in March from 46.8 in the previous month.

At the moment, the cross is down 0.16% at 1.5079 with the next resistance at 1.5259 (hourly high Apr. 2) followed by 1.5280 (high Mar.25).

Apr 3, 2013

Asian markets slightly low on Wednesday while Japan soars ahead of BoJ

One day ahead of the BoJ meeting, Japan’s Nikkei Stock Average finally moves higher, jumping by +2.64% before a much expected announcement by new Governor Kuroda that is forecasted not only to engage in a more dovish approach but also to switch to different policy tools. South Korea’s Kospi (-0.23%), Hong Kong’s Hang Seng (-0.13%) and Mainland China’s Shanghai Composite (-0.18%) dropped with the slew of sub-50 European PMIs and lack of resolution in forming an Italian government. China’s non-manufacturing PMI rose from 54.5 to 55.6 in March.

Forex: USD/JPY higher around 93.50

The USD/JPY is more biased to the upside today as the BoJ meeting puts investors on their toes ahead of an expected new dovish approach by Governor Kuroda. The recent trend, however, has been towards the downside since March 12 and hitting a low at 92.57 yesterday. The pair rose to 93.69 high today and has been stabilizing around 93.50 area.