Foreign exchange market. Asian session: the yen traded mixed against the U.S. dollar after the Bank of Japan’s interest rate decision

Economic calendar (GMT0):

(Time/ Region/ Event/ Period/ Previous/ Forecast/ Actual)

01:30 Australia Retail sales (MoM) July +0.6% +0.4% +0.4%

01:30 Australia Retail Sales Y/Y July +5.5% +5.9%

01:30 Australia Trade Balance July -1.68 -1.77 -1.36

03:00 Japan BoJ Interest Rate Decision 0.10% 0.10% 0.10%

03:00 Japan Bank of Japan Monetary Base Target 270 270 270

03:00 Japan BoJ Monetary Policy Statement

06:00 Germany Factory Orders s.a. (MoM) July -2.7% Revised From -3.2% +1.6% +4.6%

06:00 Germany Factory Orders n.s.a. (YoY) July -2.0% Revised From -4.3% +4.9%

07:30 Japan BOJ Press Conference

The U.S. dollar traded mixed against the most major currencies. The greenback was supported by earlier released strong economic data from the U.S. that showed the U.S. economic recovery deepening. Investors speculate that the Fed will hike its interest rate sooner than expected.

The New Zealand dollar traded mixed against the U.S dollar in the absence of any major economic reports from New Zealand.

The Australian dollar traded mixed against the U.S. dollar after the solid economic data in Australia. Retail sales in Australia increased 0.4% in July, in line with expectations, after a 0.6% gain in June.

On a yearly basis, retail sales in Australia rose 5.9% in July, after a 5.5% gain in June.

Australia's trade deficit fell to A$1.36 billion in July from a deficit of A$1.56 billion in June, beating expectations for a deficit of A$1.77 billion. June's figure was revised down from a deficit of A$1.68 billion.

The Japanese yen traded mixed against the U.S. dollar after the Bank of Japan's interest rate decision. The Bank of Japan (BoJ) kept its monetary policy unchanged. The BoJ said it will expand the monetary base at an annual pace of about ¥60 to ¥70 trillion. Japan's central bank added that it will continue with its quantitative and qualitative easing to achieve the 2% inflation target.

EUR/USD: the currency pair traded mixed

GBP/USD: the currency pair traded mixed

USD/JPY: the currency pair traded mixed

The most important news that are expected (GMT0):

11:00 United Kingdom Asset Purchase Facility 375 375

11:00 United Kingdom BoE Interest Rate Decision 0.50% 0.50%

11:00 United Kingdom MPC Rate Statement

11:45 Eurozone ECB Interest Rate Decision 0.15% 0.15%

12:15 U.S. ADP Employment Report August 218 216

12:30 Eurozone ECB Press Conference

12:30 Canada Trade balance, billions July 1.9 0.9

12:30 U.S. International Trade, bln July -41.5 -42.5

12:30 U.S. Initial Jobless Claims August 298 298

12:30 U.S. Nonfarm Productivity, q/q (Finally) Quarter II +2.5% +2.5%

14:00 U.S. ISM Non-Manufacturing August 58.7 57.3

16:30 U.S. FOMC Member Mester Speaks

23:30 U.S. FOMC Member Jerome Powell Speaks