We do have a few items of economic data due today from NZ, Japan, and also a speech from RBA Governor Stevens (more on this coming up)
But ... the big driver will again be China
China cut rates late yesterday: China PBOC cuts interest rates and RRR
Let's see how far that goes to calm the Chinese stock markets. After the huge falls we've had, my guess is that we'll see a calmer market today. But, if not, I won't be surprised.
Just a reminder on the times to watch out for ...
Just after 0115 GMT we get the PBOC yuan rate fix. This has come off the market radar to an extent, but after yesterday's weaker yuan fix it should become a focus again. The next step to watch out for is a widening of the band, IMO. Its currently at +/-2% ... watch for a move out to +/-3%. Not today ... just something to be aware of as may be in the pipeline.
Around 0125GMT I'll have the early indications of where the CSI300 and the Shanghai Composite will open for the session
0130GMT the Chinese stock markets will open. Please ensure your seatbelts are fastened and your chair is in the upright position. barf bag is probably optional today.
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OK, here's what's coming up otherwise today:
At 2245GMT - New Zealand trade balance data for July ... which will be weighed on by the continued falls in dairy prices during that month
- July trade balance, expected is -600m, prior was -60m
- Exports, expected is 3.83bn, prior was 4.23bn
- Imports, expected is 4.40bn, prior was 4.29bn
The trade balance data will be a market focus for the NZD, at leaset prior to the China opening a little later.
- 2350GMT - Japan - Services PPI for July, expected is 0.4%, prior was 0.4%
- 0005GMT - Australia - Remarks From RBA Governor Stevens at the National Reform Summit, Sydney
- 0130GMT - Australia - Q2 Construction work done, expected is -1.5%, prior was -2.4%. Infrastructure building has been in decline with the downturn in mining investment, both private and public. Residential building has made up for this somewhat. We get capex data tomorrow.
Much later, from Japan ....
- 0500GMT August Small Business Confidence, prior was 49.3 (a minor market focus)