Forex Today: USD softness persists, ECB minutes, Fedspeaks - Key

We had a data-quiet Asian session, with the USD price-action garnering a lot of attention, as the Asian traders remain unimpressed by a non-event Trump presser. The US president-elect Trump made no comments on his fiscal spending plans, tax reforms and China trade policies, leaving many questions unanswered and his policy intentions in doubt.

For today, the economic calendar remains quite eventful, with German Q4 GDP figures, which will be followed by Eurozone industrial production data and ECB monetary policy meeting accounts. Heading into the US session, US unemployment claims data is the only fundamental news up on the sleeves, while a bunch of Fed speakers are due to speak later on Thursday.

FOMC Member Evans is due to speak about the economic outlook and monetary policy at the American Council of Life Insurers, in Naples. FOMC member Harker is scheduled to make a speech in Pennsylvania.

Main topics in Asia

USD/JPY: Sellers back in control, approaches post-Trump lows

The USD/JPY pair faced rejection at 115.50 levels and from there resumed its overnight selling spiral amid renewed weakness in treasury yields and USD across the board.

Oil feels the heat of increase in US inventories

Oil is trading on the back foot in Asia on signs the excess supply issue is here to stay for a long time despite OPEC deal.

India’s oil demand hits record high

According to oil ministry data, India’s oil consumption soared 11% to the record high in 2016.

Nikkei 225 slumps on stronger Yen, Trump-effect fades

The bearish pressure behind the Japanese stock markets is seen intensifying over the last hour, driving rest of Asia lower, as the Yen extends its upbeat momentum versus the greenback.

Key focus for the day ahead

ECB Minutes and German GDP estimate in focus today - TDS

Analysts at TDS suggest that for data today, we get the German 2016 GDP estimate, which we can use to back out the Q4 GDP print.

EURGBP: Anticipate a stronger recovery in the coming days - Natixis

In view of the Micaella Feldstein, Research Analyst at Natixis, the increase in the daily volatility of EURGBP and the turnaround of the daily indicators suggest the emergence of an upside bubble on the daily chart.

EUR/USD hits fresh highs near 1.0620, ECB, Fedspeaks eyed

The EUR/USD pair reversed a brief dip below 1.06 handle and now flirts with daily tops, as the bulls remain in charge amid broad based US dollar weakness induced by Trump’s press conference.

USD: Just a pause in the upswing? - Westpac

Sean Callow, Research Analyst at Westpac, expects USD to soften a little further near term as such unease continues to grow.