Aug. 18: Asian session
Asian stocks after last week’s gains stalled as another bout of tensions in the Ukrainian conflict sapped investor confidence. US dollar weakened versus its counterparts ahead of data forecast to show inflation slowed and before central bankers meet at an annual conference in Jackson Hole.
USD/JPY is trading at the 200-day MA in the 102.30 area. EUR/USD is just under $1.3400. GBP/USD opened with more than a 30-pip gap up at $1.6730. Pound rose on the comments from Bank of England’s Governor Carney who said that he would not wait for real wages to turn positive before raising interest rates.
Commodity currencies trade sideways on Monday. AUD/USD consolidates around the Friday high of $0.9320. Australia new motor vehicle sales fell by 1.3% versus prior 2.2% growth. NZD/USD trades in a narrow $0.8470/8500 range. Gold sits at the 200-week MA ($1301.70).