It was not supposed to happen this way. Many were anticipating a contained trading range. Yesterday's 'big' currency move was expected to take place after this morning's highly anticipated and a potential watershed moment for non-farm payrolls. It may still do. Many investors, dealers and speculators have been uptight and intense for most of this week ahead of the Fed's go to indicator. This morning's employment report is the granddaddy of all economic indicators, and if we were playing the percentages after yesterday's move, it should not be a quiet session.
Size does matter! - The dealer chatter that a -$22-billion USD/JPY sale at ¥98.00 yesterday happened to drive the FX market down -1% in 5-minutes is very believable, especially when one considers the type of volume that individuals were trying to lay off in a hurry. The 'mighty' dollar fell to new monthly lows against the EUR (-1.5%) and Yen (-3%) as a percentage of individual's cheered optimistic comments from Draghi...
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