FX markets subdued as Russia-Ukraine situation unfolds
City Index March 18, 2014 1:13 PM
<p>The FX markets were quiet last night, even with tensions rising in Ukraine now that sanctions have been announced against Russian and Crimean individuals that […]</p>
The FX markets were quiet last night, even with tensions rising in Ukraine now that sanctions have been announced against Russian and Crimean individuals that were involved in the seizure of Crimea. Obama announced yesterday that he believes there still is a diplomatic way to solve the problem but it seems that Russia has ignored this, with Putin signing a decree recognising the region as a sovereign state. The story unfolds day by day and has the potential to change the market’s direction with any update. One to watch still.
The RBA released minutes last night and got a mixed reaction, with the RBA reiterating a period of stability for rates. This caused a spike in the aussie but the RBA has said that the Australian dollar is still high by historic standards, causing it to lose hold of it gains.
Out today is the German ZEW, expected to fall from previous readings down to 52.8 from 55.7. The US releases the core CPI, expected to remain at 0.1% and the same as last time. In the UK BoE Governor Mark Carney is set to talk later this evening. Some potential reasons for moves in these data releases and talks.
Supports 1.3900 1.3875 1.3840 | Resistance 1.3945 1.3965 1.3980
Supports 101.20 100.75 100.35 | Resistance 102.00 102.50 102.80
Supports 1.6580 1.6540 1.6520 | Resistance 1.6665 1.6700 1.6720
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