Japan EcoMin Amari: Q1 Nominal GDP Growth May Not Be Sustainable, Need To Monitor Capex, FX Needs To Follow Fundamentals — RTRS
BoC Wilkins: Eventual Higher Interest Rates Will Be A Test Globally, But Will Come In Light Of Stronger Economies — RTRS
ECB’s Noyer: Greece Cannot Have A Serious Effect On The Euro, It Represents 2% Of EMU Economy, Reforms Have Been Significant In EMU — RTRS
Greece creditors considering extending bailout until March –WSJ via BBG
ECB Mersch: Yields rising due to inflation and growth expectations –BBG
Asian stock markets are mostly lower this morning, with the Shanghai Composite down 1.20 %. Chinese inflation data arrived lower than expected, at 0.2 % in May and 1.2 % on the year. Australian business confidence data beat expectations, but it didn’t have much impact on the Aussie.
The Euro extended gains overnight, to almost 1.1350. There is not apparent reason, but it seems that there is broad USD position covering. Key resistance now at 1.1380 (Thursday high) and then 1.1468 (May 15 high). Meanwhile, USD/JPY retraced all of the post-NFP gains, declining to 124.27 in Asia. Bids expected at 124.00 and decent technical support noted at 123.75/80.