Forex Today: Yen strongest in Asia, UK retail sales, EZ CPI on tap

Forex today in Asia was dominated by broad USD weakness, as the US dollar continued to face double whammy amid renewed US political woes and less optimistic Fed’s outlook on inflation. Amongst the Asia-pac currencies, the Yen was the strongest, in response to better-than expected Japanese trade data, while the Aussie stalled its recovery mode on the back of mixed Australian jobs report. The NZD/USD pair sits near Tuesday’s high of 0.7333, as the bulls cheer upbeat NZ PPI data.

Main topics in Asia

NZD/USD headed to 0.7350 as NZ PPI underpins

The NZD/USD pair is seen extending their recovery from five-week lows in Asia this Thursday, now looking to take-out key resistances located near 0.7330 levels en route 0.7350 levels.

WH Chief Strategist Bannon: “We’re at economic war with China”

Remarks from the White House Chief Strategist Steve Bannon crossed the wires earlier today, via Reuters, as he expressed his views on China, Korea, and his enemies in the Trump administration in an interview with the American Prospect.

Australia proposes stronger money laundering rules, includes bitcoin - RTRS

The Australian Minister of Justice Michael Keenan said in a press release on Thursday, Australia announced a bill today to strengthen its money laundering laws, Reuters reports.

Australia’s July employment report: Mixed reading, full time jobs drop sharply

Australian July employment report came mixed, with the employment change at 27.9k vs 20k exp and 14k prior, with full time job creation at -20.3k vs 69.3k (revised higher) last, while part time jobs came at 48.2k vs -48k last.

Key Focus ahead

In the session ahead, the RBA Assistant Governor Ellis speech will remain in focus ahead of the key UK retail sales report.  Meanwhile, from the Euroland, the final CPI, trade balance and ECB monetary policy meeting minutes will be closely eyed for fresh impetus on the Euro. In the North American session, the Canadian manufacturing sales will be released alongside a spate of US economic releases, including the jobless claims, Philly Fed manufacturing index and industrial production data. Besides, speech by the FOMC member Kaplan is also on the cards in the American morning.

GBP/USD re-takes 1.2900 in Asia, UK retail sales in focus

The GBP/USD pair caught a fresh bid-wave in Asia and extended its overnight steady rise to reclaim 1.29 handle. However, the bears continue to lurk above the last amid mixed market sentiment and increased nervousness ahead of the key UK retail sales data.

EUR/USD - Will ECB minutes re-establish the uptrend, Descending triangle noted?

EUR/USD found takers at the 20-day low of 1.1681 and ran into rising trend line hurdle after the Fed minutes released in the NY session showed growing concerns among policymakers about weak inflation.

UK retail sales volumes to fall in July - HSBC

HSBC analysts offer a sneak peek on what to expect from the UK retail sales report, which will be reported at 0830GMT later today.

ECB monetary policy meeting minutes preview – HSBC

In the view of analysts at HSBC, the ECB minutes is likely to provide fresh insights on the ECB Governing Council’s discussion on the recent euro appreciation and its impact on the growth and inflation outlook.