Forex trading headlines for Asia Tuesday 14 October 2014
- Australia – ANZ Roy Morgan weekly Consumer Sentiment for the week: 113.8
- RBA’s Debelle – Says Australian dollar still high vs. fundamentals
- British Retail Consortium (BRC) September retail like-for-like sales: -2.1% y/y
- Japan PPI +3.5% y/y (expected +3.6%, prior +3.9%) – also M2 and M3 data
- Australia – NAB business confidence September 5 (vs. previous was 7)
- UBS say the Reserve Bank of Australia (RBA) rate hike cycle may be less than it has been
- China trade data … fake invoicing concerns revived
- PBOC cuts repo rate to ease financing costs for small companies
- ANZ economists say the chances of the RBNZ holding rates through 2015 “growing by the day”
- Ireland To End Regime Of Cheap Corporation Tax
Coming up soon …
- GBP traders – heads up for UK inflation data due today
- Preview of German ZEW economic sentiment reading – coming up in European morning
USD weakness early in the Asian morning, with EUR/USD a big over, popping up above 1.2760 and USD/JPY down through 107.00.
The moves were retraced to an extent, though, with EUR/USD back to around 1.2725 before stabilising and USD/JPY climbing back above 107.20 before it, too, stabilised. EUR/JPY was net a little stronger on the session.
GBP/USD didn’t climb nearly as much as the EUR did and it subsequently came bak to be only barely above the level it was when I walked in this morning.
AUD and NZD, too, were laggards, but more than made up for it. AUD/USD traded above 0.8800 and NZD above 0.7900 before both stabilised. That’s a good 50-60 odd points rally for both. The AUD rallying despite poorer NAB data and an RBA official saying it was still high (see bullets, above), short-covering,the actions of the People’s Bank of China (PBOC) (again, see bullets, above) and a better iron ore price all cited as reasons for its gain today.
