Forex Today: Aussie gives-up 0.80 post-GDP, a light session ahead

In the wake of risk-aversion-led by North Korea missile threat, the Yen emerged the second best performing currency in Asia, followed by the Canadian dollar. The Aussie dollar eroded almost 40-pips after the release of the June quarter GDP report, which left markets little impressed, while Kiwi traded modestly lower amid oil price weakness and stalled USD selling across the board.

Main topics in Asia

Fed’s Kaplan: Fed should be patient on rates

Robert Kaplan, who is the president of the Federal Reserve Bank of Dallas, says the Fed should be patient on rate hikes and should get on with the balance sheet runoff. 

Federal Reserve Kaplan on the wires: expects 2.25% growth this year

Robert Kaplan, who is the president of the Federal Reserve Bank of Dallas was speaking and he still looks for 2.25% economic growth in 2017 for the US and for the unemployment rate decrease. 

US Defense Analysts: North Korea has as many as 60 nuclear bombs - BBG

Bloomberg reported the latest estimate, cited by the US defense analysts, as saying that North Korea is believed to have as many as 60 nuclear bombs.

 Australia's GDP Q2 expands in line with expectations

Australia's Gross Domestic Product (QoQ) for Q2 came at 0.8% vs 0.8% exp and 0.3% last, while the yearly reading registered 1.8% vs 1.8% exp and 1.7% last.

Putin to Moon: Will discuss North Korea's nuclear and missile programmes

Headlines crossing the wires, via Reuters, cites the conversation between the Russian President Putin and his South Korean counterpart Moon, as they spoke about the North Korean missile threat.

Key Focus ahead

We have a fairly light EUR calendar, with the German factory orders and Eurozone retail PMI to offer some impetus to the traders. Meanwhile, the NA session remains action-packed, with the BOC rate decision likely to hog the limelight. Also, of note will be the releases of the Canadian trade and Labour productivity data, while from the US docket, the trade balance figures, ISM non-manufacturing PMI report and Beige Book will be closely eyed.

EUR/USD: Range-trade to extend ahead of ECB?

The EUR/USD pair paused its two-day bullish momentum and fluctuated between gains and losses above 1.19 handle in the Asian session this Wednesday, as markets eagerly await the ECB policy announcement for fresh direction.

GBP/USD - Is Head and Shoulders reversal a distant dream?

The risk-off mood on the Wall Street and the resulting drop in the US 10-year treasury yield to a 10-month low of 2.054% triggered a broad based sell-off in the US dollar. 

BOC to keep rates on-hold today - RBC

Analysts at Royal Bank of Canada (RBC) out with a brief preview on what to expect from today’s Bank of Canada (BOC) monetary policy decision.