Forex trading headlines for Asia Monday 2 August 2014
Weekend:
- 12 of 18 US primary dealers say Federal Reserve won’t raise interest rates before second half 2015
- Russian foreign ministry calls on EU not to be “goaded” by Washington over Ukraine
- Japan’s Suga says economic recovery remains underway
- Factory explosion in China, more than 200 casualties
- “German economic growth will shrink towards zero in the second quarter” – Ifo head
- Australia: “Tony Abbott’s paid parental leave scheme deferred with no due date in sight”
- China Non-Manufacturing Purchasing Managers Index (PMI) for July: 54.2 (prior was 55.0)
- Goldman leads an attack on Bloomberg in the chat game
- AUD/NZD still has the makings of a great trade
Monday:
- Australia – which investment bank sees “upside risk” this week?
- Bailout – Bank of Portugal head says Banco Espirito Santo to be recapitalised via bank resolution fund
- What are the “known unknowns” for the coming week?
- Japan data – July monetary base: +42.7% y/y (prior 42.6%)
- TD Securities/Melbourne Institute (MI) Inflation Gauge for July: +0.2% m/m (vs. prior +0.0% m/m)
- Recap: Portugal in $6.6 billion rescue of Banco Espirito Santo
- China Securities Journal: China GDP may rise by about 7.4% in H2
- New Zealand – ANZ Commodity Price Index for July: -2.4% (prior was -0.9%)
- Australia – ANZ Job advertisements for July: +0.3 (prior was +4.4%)
- Australia – Retail Sales for June: +0.6% m/m (vs. +0.3% expected)
- New Zealand Treasury publishes monthly economic indicators … outlook slipped
Small ranges for the USD against EUR, GBP, CHF and CAD.
A small range too for USD/JPY, but it gained a little on the session, helping to drag yen crosses up. EUR/JPY was a beneficiary, up nearly 20 points from its session lows, but AUD/JPY did even better.
AUD/USD put on 20+ points with a private inflation gauge coming in a little warmer and retail sales data then showing a bounce back for July from a lacklustre post-budget result in June. The RBA meeting and announcement is tomorrow (Tuesday, Australia time) and these signs of improvement will cement the ‘rates on hold’ sentiment and cause some concern, you would think, for those looking for a near-term cut from the RBA.
NZD/USD didn’t do much at all today.
