UK GDP fell 0.2% in Q4, 0.1% decline expected
BoE bond-purchase vote 9-0, interest rate vote 9-0 to keep at 275 bln and 0.5% respectively.
Some MPC memberssaid further asset purchases likely.
Gbp/Usd a touch firmer, presently trading at 1.5655.
German Jan. IFO Business Confidence Index rises to 108.3 from prior 107.2
Eur/Usd made new high of 1.3050 on news.
Aussie CPI
The Consumer Price Index for the 4th quarter in Australia came in above expectations on a year over year basis, but weaker quarterly, initially pushing the AUDUSD pair lower. The details of the release are as follows:
- CPI (QoQ) – Survey:0.2% Actual:0.0% Prior:0.6%
- CPI (YoY) – Survey:3.3.% Actual:2.6% Prior:3.5%
AUDJPY Approaching LT Resistance
The risk appetite to start the new year seems to be intact (despite a weaker start to the week for equities) , coupled with a Yen sell off yesterday has the AUDJPY approaching trendline resistance in a quickly closing wedge, as it has met some resistance at the 200 day mavg. A confirmed break to the upside could retest the April highs in the first half of the year.
E/Z Industrial New Orders drop 1.3% in Nov., beating expectations
A 2.1% drop was expected.
Eur/Usd has risen off recent lows to trade at 1.3017.
Spain sells EU2.51 bln bills vs EU2.5 bln target
Eur/Usd has strengthened on news to 1.3040, up 10 pips.
UK December budget deficit 13.7 bln vs 14.9 bln estimate
Dec. cash requirement 22.9 bln vs 19 bln forecast.
Gbp/Usd relatively unchanged upon release of numbers, trading at 1.5556.
E/Z Flash Mfg. & Services PMI stronger than expected
Mfg PMI came in at 48.7 vs 47.4 expected.
Services PMI came in at 50.5 vs 49.1 expected.
Eur/Usd trades at 1.3013.


