FX Update: Corona virus concerns return, taking JPY higher
Asian markets were shaken and the CNY traded lower as Chinese authorities moved aggressively to get ahead of the corona virus outbreak. The market action saw the usual weak transmission into FX, where the JPY saw the most pickup in volatility, if still rather modest. Elsewhere, CAD was sharply lower after a more dovish than expected turn from the Bank of Canada.
FX Update: USD pulls to new highs for 2020 as volatility still moribund
The US dollar is poking at new highs for 2020, though in an environment of still very low volatility as the global risk melt-up resume after what has so far proven a two-day Chinese corona virus distraction. USDCAD looks indecisive ahead of the Bank of Canada meeting and Poloz press conference later today.
FX Breakout Monitor: USD losing momentum, GBP trying to gear up
The negative sentiment from the worrisome virus outbreak in China has done little to spark volatility. The US dollar is doing what it has done best over the last eighteen months by not developing further momentum after teasing important upside breakout levels. Sterling has shown fresh signs of life today on strong UK jobs numbers.