Forex news for Asia trading Monday 19 January 2015
Monday:
- Bust forex broker Global Brokers NZ on Ministry blacklist
- The SNB is 48% Privately Owned…No Wonder They De-pegged
- China stocks falling – China bars 3 brokerages from opening new margin trading accounts
- PBOC official calls for policy support, but not too much
- Australia New Motor Vehicle Sales for December: +3% m/m (prior -0.5%)
- Researcher says fall in oil price to inrease China GDP, boost trade surplus
- UK data – Rightmove House Price Index for January: +1.4% m/m (prior was -2.2%)
- Australia – TD Securities inflation for December: 0.0% m/m (prior +0.1%)
- Credit Suisse to charge large companies for franc deposits
- JP Morgan says the RBNZ next hike in 2016
- UBS forecasts a slowly rising EUR/CHF over the coming 12 months
- New Zealand – Westpac-McDermott Miller employee confidence index falls to 106.5 in Q4 (prior 111.5)
Weekend:
- Poland may help Swiss franc mortgage holders – deputy PM
- Shots fired near Vice President Biden’s Delaware residence earlier on Saturday
- Ukraine president said to reject Putin peace proposal
- China – shadow banking industry stages a comeback
- Academic adviser to the PBOC says GDP growth may be as high as 7.3% in 2015
- China – economy consumed a record amount of electricity in December
- Ukraine says its troops have taken back a large part of Donetsk airport
- Central banks will be liable for at least 50% of bond risk on ECB QE programme
- Swiss government has “full confidence” in the SNB
- China new home price declines accelerating
- Dutch Finance Minister signals no objection to ECB quantitative easing … maybe
- Greece – Poll shows Syriza party is solidifying its opinion poll lead
- Italian Economy Minister Padoan: urges ECB bond buying “without constraints”
- British PM: Firms should raise wages to reflect gains from lower oil price
- The Bank of Japan is keeping an eye on hedge fund activity in the yen
- Japan – cheap oil will be a big boost to industry, but for households not so much
- Swiss franc trade said to wipe out Everest’s biggest hedge fund – MORE
- Why Gain and Saxo deserve some extra credit
- Why Gain Capital, Saxo Bank and others who lowered leverage deserve a lot of credit
- Now’s not the time to make it all back
- Jordan says SNB had ‘intensive’ discussion but was unanimous
- Bank of Greece requests a stand-by domestic emergency funding line from the ECB
- Did the SNB deliberately set out to mislead over the EURCHF defence?
- Merkel adviser says ECB should be ‘patient’ on QE
- Low inflation gives the Fed a reason to wait – WSJ
- Reports some in the BOJ growing anxious about continued bond buying … is a change coming?
- Reminder: Oil price rise adds to risk Bank of Japan will miss inflation target
- Bank of Japan may extend program encouraging lending
- China – On Friday the PBOC announced fresh support measures for the economy … more detail, and also on FDI
- Spiegel: ECB’s Draghi briefed German Chancellor Merkel & finmin Schaeuble on quantitative-easing plans
- Investment banks losses from Swiss move … but what about hedge funds?
- Pressure will be on regulators to tighten retail FX in wake of Swiss franc turmoil
- 10 Takeaways from Lagarde’s swipe at the Swiss National Bank
Activity today in Asia FX on the yen, AUD, and CHF. EUR and GBP were releatively subdued.
Yen crosses fell today, losing more than 60 points from the highs. there wasn;t much in the way of news etc. to serve as a catalyst.
AUD/USD dropped away around 50 points from session highs. There were substantial losses on Chinese stock exchanges (see bullets, above) that weighed on the AUD.
The Swiss franc remained active, both USD/CHF and CHF crosses trading notably higher, recovering a little more ground from the huge losses last week. Liquidity conditions remain strained, contributing to outsize moves in the CHF.
Still to come:
It’s a US holiday today, which will exacerbate tight liquidity conditions.
