Session recap: Asian calm before the FOMC storm

FXstreet.com (Barcelona) - - The Asian session has seen minimal moves across the board with the exception of the Yen – which is down roughly 0.2%. The message of the session is “hurry and and wait”…

Session Data Summary and Reactions

• RBA Governor Stevens’ speech was released and covered a wide range of sub-topics about the Aussie economy; the net result of the news on the AUD has been only mildly bullish – up against the Yen, down against the Dollar as an example.
• Aussie Westpac Leading Index disappointed – the AUD reacted higher initially but has faded throught the session – although it is still higher post data.
• Japanese Trade Balance data came out showing higher than expected exports and lower than expected imports – the Yen is still down on the session despite the data.
• New Zealand Business Confidence came out showing growth m/m but the Kiwi has been under pressure for nearly the entire session.
• Chinese house prices, business sentiment, the leading economic index all came out showing good month over month growth; and, foreign direct investment showed lower than expected numbers; the numbers have been pushed aside for the most part as traders instead choose to trade lightly ahead of the US Fed’s announcement.

Main headlines in Asia:

RBA Stevens - Key headlines

EUR/USD continuing to rally off of Tuesday lows; 1.3800 – 1.3810 is key resistance for bears

RBA Stevens fails to provide fresh excuse to sell AUD

Nikkei bid to the boots, Yen under pressure

DXY simmering before full-blown explosion – the direction of which still remains unclear