EURUSD: The euro fell from 1.0995 to 1.0940 (-55 pips) in Europe against the broad strength of the US dollar gains made from the better than expected headline data of the US Feb Jobs report from Friday. NFP was +242k versus the forecast of +190k. US bond yields rose to 1-month highs.The euro was also weighed down by speculation of lower interest rates this coming ECB policy meeting on Thursday. German Jan factory orders fell for a second month to -0.1% m/m versus the median estimate of -0.3%.
GBPUSD: The pound is lower against the advances of the firm US dollar in Europe. After a narrow range in the prior Asian session, the pound fell from 1.4215 to 1.4132 (-83 pips). There is no significant UK economic data today, so price action will be led by the dollar and cross currency play. 5-DMA at 1.4180 support was easily broken. Bids at 1.4135. Support seen at 1.4108 (5DMA), 1.4050.
USDJPY: The yen made small gains against the US dollar as it fell from 113.90 to 113.50 in the prior Asian session. BOJ Governor Kuroda rebuked the notion of QE cannot be expanded and said it was unfounded. He repeats rhetoric, that BOJ will make full use of negative interest rates and QE policies in order to achieve their 2% CPI target. Further yen buying took USDJPY rate lower to 113.40 in Europe with a small retracement back to 113.70. Rangebound. Next focus will be Japan GDP & Trade data on Tuesday.
USDCHF: After a narrow trading range in Asia, the swiss franc fell immediately at the European open and the USDCHF rate rose from 0.9930 to 1.0011 (+81 pips)as the US dollar gains from the US Feb Jobs report from Friday. The swiss franc weakened on the remarks of SNB member Maechler who said, "Money policy limits have not yet been reached, swiss franc is overvalued." EURCHF also higher and rose from 1.0920 to 1.0970 (+50 pips) as the swiss franc fell. Resistance at 1.0038 Feb 29 high. Support at 0.9880.