Forex Review – Asian markets calm ahead of US jobs; Australian dollar eases after RBA trims growth outlook

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AUDUSD opened in Asia at 1.0413 and drifted lower after the Reserve Bank of Australia monetary policy statement. The Australian dollar softened against the US dollar in reaction to the central bank lowering its growth outlook and warned the euro zone debt crisis was the biggest threat to the Australian economy. AUDUSD lost 0.4 percent in the session to touch a low of 1.0367 following the RBA report.

 

EURUSD held onto gains in Asia after the euro rebounded in the US session following relief by investors that the Greek referendum was cancelled. However investors remained cautious in the Asian trading session preferring to wait for more developments form the G20 Summit in Cannes today as well as a confidence vote in the Greek parliament. But the main focus will be on the most important US jobs data, that is the Non-farm payroll report. This will give move markets accordingly. EURUSD opened in Asia at 1.3811 and closed at 1.3814.

 

GBPUSD opened in Asia at 1.6041 below the New York high of 1.6060 and dipped to 1.6001 on profit taking before settling into a 1.6000-22 range as investors take a pause ahead of a busy day today with the upcoming US Non-farm payrolls and the Greek confidence vote.

 

USDJPY was steady in a very tight range hovering above the key psychological 78.00 level. Cancellation of the Greek referendum and the surprise ECB rate cut helped shore up risk sentiment in the North American session but investors were taking a breather in Asia ahead of the Greek government facing a no-confidence motion tonight and also ahead of key US non-farm payrolls data tonight . USDJPY opened at 78.04 and closed at 77.99.

 

Gold eased off its six-week high hit in New York yesterday at $1,1767.60. Uncertainty surrounding the euro zone debt crisis and Greece’s abrupt call for a referendum panicked investors who turned to the safe haven asset. The precious metal remained close to six-week high and closed at $1,758.70.