19 Nov 2013
Flash: Markets somnolence, Euro failing – Societe Generale
FXstreet.com (London) - Kit Juckes, chief currency analyst at Societe Generale said there is a somnolence to markets this afternoon.
Key Quotes:
“The Euro hasn't broken through the top of its range”,
“USD/JPY is hopping from one side of 100 to the other and back, SPX is having a pause, and there has been little data other than US ECI which saw wage and salary inflation fall to 1.6%”.
“We're waiting on ‘new news' which starts with retail sales tomorrow, but the Fed's on hold for a really long time, inflation isn't a problem and Treasury yields are actually higher than they look”.
“And that's good for higher-yielding currencies, for now. I'm not a Treasury-seller, I'd rather be short gilts vs Bunds. I want to see AUD get higher to sell it, and I'm happy to be patient (verging on bored) with short EUR/GBP and long GBP/JPY”.
Key Quotes:
“The Euro hasn't broken through the top of its range”,
“USD/JPY is hopping from one side of 100 to the other and back, SPX is having a pause, and there has been little data other than US ECI which saw wage and salary inflation fall to 1.6%”.
“We're waiting on ‘new news' which starts with retail sales tomorrow, but the Fed's on hold for a really long time, inflation isn't a problem and Treasury yields are actually higher than they look”.
“And that's good for higher-yielding currencies, for now. I'm not a Treasury-seller, I'd rather be short gilts vs Bunds. I want to see AUD get higher to sell it, and I'm happy to be patient (verging on bored) with short EUR/GBP and long GBP/JPY”.