Forex news for Asia trading Wednesday 12 October 2016
A huge overnight collapse in GBP and heavier AUD & NZD were all reversed in Asia today.
UK PM May back pedalled late Tuesday in the UK parliament, accepting that Parliament should be allowed to vote on the plan for taking Britain out of the EU. Perceptions are this diminishes the probability of a ‘hard’ Brexit, and these perception gave a bid to GBP. And what a bid. After initially creeping toward 1.2150 GBP/USD surged another 100+ points on buying and short covering in thin early Asian trade, before consolidating around 1.2250. But that wasn’t the end, another move above 1.2280 and then some more consolidation, and as I update its banging on the door of session highs above 1.2300. (Just dipping below there now as I publish the wrap)
ForexLive Asia FX news: UK PM to allow parliament to vote – GBP soars
