Quiet start to FX trading week
USD/JPY is still sitting just below the vital 81.50 level and this, along with all of the Yen cross pairings, holds the key to today’s Asian FX market session. Dealers have mentioned some modest AUD and NZD buying already this morning but all in all, its been a very quiet start.
The Nikkei opens in an hour and will look favourably on the weaker Yen, suggesting that we might get some positive risk sentiment in the regional equity markets to start the week. On the other hand, recent Deutsche Bank research showed that Monday’s tend to be risk-off days.
Best to sit back for another few hours and see how early markets develop.