British pound renewed 12-weeks high - 18.12.2012
Tuesday morning FX trading was relatively quiet. Most of the major currency pairs are traded near local highs set in the last days. The USDJPY currency pair remains slightly below 84.00, although yesterday the US dollar rose vs. yen to 84.20, its highest level since April 2011 (see the chart). Market participants stuck the focus to the BOJ meeting on December 19-20th. Euro, Swiss franc and Canadian dollar also keep trading near yesterday highs.
USDJPY, daily chart
Australian dollar fell a little vs. U.S. dollar, but in the last trading session it has been traded in a relatively tight range above 1.0500, however mostly below 1.0550 (see the chart). The December RBA meeting minutes published today, when the regulator decided to cut the target interest rate for overnight transactions down to 3% did not have any significant impact on trading. Interest rate cut before the session was almost entirely accounted for markets.
AUDUSD, daily chart
The British pound keeps rising against the U.S. dollar. Today, the GBPUSD has reached the highest level since September at 1.6223. The freshly released UK inflation data for November show that the annual increase in the consumer price index was at 2.7%, as in the previous month (see the chart).
UK, CPI