HALISTER1: INSIDE G-10: Yen Surges After BOJ Holds, AUD Gives Up Jobs Gain

INSIDE G-10: Yen Surges After BOJ Holds, AUD Gives Up Jobs Gain

(Bloomberg) -- JPY gains across the board as investors react to unchanged BOJ policy; AUD quickly reverses post employment report gains as details show jobs growth is mostly part-time.
  • USD/JPY -1.51% to 104.41 vs 104.35-106.03 range
    • Sold through barrier options at 105.00, with more at 104.50 and 104.00, traders say
    • Prices briefly disappeared on two electronic platforms before returning with much wider spreads as hedge and model funds sold, other traders say
    • Attention turns to Kuroda’s press conference for any signs of possible stimulus in July
    • Nikkei index down 2.8%
  • AUD/USD -0.28% to 0.7386 vs 0.7384-0.7440 range
    • Sold by macro and several smaller leveraged accounts after downward revisions to April jobs data: trader
    • Order books are net sellers approaching 0.7450: trader
    • RBA’s Kent says lower rates have been “quite stimulatory”
    • Aussie 10-yr govt bond yield falls below 2.0% for first time
  • GBP/USD -0.15% to 1.4182 vs 1.4176-1.4213 range
    • Trading slows as liquidity dries up ahead of next week’s Brexit vote, trader says
    • GBP may tumble 9% on June 24 if U.K. votes for Brexit: HSBC poll
  • BBDXY -0.32% to 1,182.09
    • 10-yr Treasury yield down 2 bps to 1.555%
  • NZD/USD +0.53% to 0.7071 vs 0.7033-0.7093 range
    • Asia-based FX traders still carrying NZD/USD short positions from 0.7060 in wake of 1Q GDP data beating most estimates; 1Q GDP rises 0.7% q/q vs est. +0.5%
    • N.Z. lowers forecast for 2016-17 primary exports
  • EUR/USD +0.12% to 1.1273 vs 1.1256-1.1285 range
  • Gold rises; WTI, Brent crude futures and copper fall
Alert: HALISTER1
Source: BFW (Bloomberg First Word)

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