Active FX Session Ahead Of Fed Minutes
It has been an active session ahead of the FOMC minutes later on today, where the focus has been on GBP in the wake of the latest IPSOS/Mori poll which has shown the remain voters taking a strong lead of 55% vs 37%, despite more balanced surveys seen of late.
Cable failed to show a positive reaction to the healthier than expected jobs report, rallying weakly to 1.4450 before heading lower, but basing out ahead of 1.4400. The modest upturn turned into a vicious rip higher, which took out a series of resistance levels, most notably 1.4550, though above 1.4600 is proving a struggle.
EUR/GBP took out support at .7740-50 and is now eyeing .7700, with EUR/USD struggling for direction. The latter spot rate is still in close proximity to the key support zone ahead of 1.1200, but along with AUD and NZD, continues to struggle with a stronger recovery ahead of the FOMC minutes.
USD/CAD has failed in its first attempt on 1.3000, but oil buoyant and remains so, despite spot traders anticipating a turnaround soon.
USD/JPY finally took out the Tuesday highs to extend gains through to 109.84, with 110.00 very much on the table if the Fed minutes disappoint.
Stocks in the green, which seems to go against the prospect of hawkish minutes anticipated, with the probability of a June rate hike having risen from just 4% to 18% albeit more reflective of a move by September.