Forex trading headlines for Asia Monday 01 September 2014
Weekend:
- Benoît Cœuré: European Central Bank ready to adjust monetary policy further if needed & boost bank liquidity
- New Zealand government minister quits over misconduct allegation three weeks before election
- Recession in Brazil is an ominous sign for emerging markets
- The euro had some company as the worst performer in August
- Polish President Komorowski warns that Putin is trying to build a new Russian empire, choice is “a Cossack Europe or a democratic one”
- EU may urgently prepare more options for Russia sanctions
- Lithuania’s president Grybauskaite says Russia is at war with Ukraine and so effectively at war with Europe
- Ukrainian Antonov-12 plane crashed on Saturday – 6 Ukrainians and one Russian on board
- Finnish PM says Russia is trying to irritate Finland by its repeated violations of Finnish airspace
- EU President Barroso says ready to impose strong Russia sanctions
- French President Hollande says EU will step up sanctions if no change by Russia
- European Council President Herman Van Rompuy – EU set to tighten Russia sanctions ‘within a week’
- China and Hong Kong poised for showdown over democracy
- European Union leaders are set to hold an emergency summit on promoting growth and jobs on October 7
- German Vice-Chancellor Sigmar Gabriel: EU leaders agree no change to budget pact
- French PM Valls says the ECB must go “even further” to correct the overvalued euro
- US welcomes the EU’s consensus to prepare further sanctions against Russia
- Russia’s Putin says they cannot stand aside when people are being shot at in Ukraine
- UK’s Cameron welcomes Tusk’s pledge on EU reform
- Merkel not happy over Draghi’s focus on fiscal stimulus
- No signs of compromise at the SNB as EUR/CHF nears 1.20
- China shifting to local debt model connected to projects
- Did Putin really call for Eastern Ukraine “statehood”?
- French PM says ECB must do more to tackle overvalued euro
Monday:
- Bank of Japan (BOJ) meeting this week: “will maintain its existing stimulus policy and optimistic economic view”
- Euro – JP Morgan say the “ECB poised to act” this week
- New Zealand Q2 terms of trade comes in much better than expected
- Australia – AIG Performance of Manufacturing index for August: 47.3 (vs. 50.7 prior)
- Japan – Q2 Capital Spending +3.0% y/y (vs. +4.2% expected)
- Australia – RPData/Rismark house price index for August: +1.1% (prior was +1.6%)
- HSBC/Markit manufacturing purchasing managers’ index (PMI) for South Korea: 50.3 in August vs. 49.3 in July
- Australia – TD Securities/Melbourne Institute (MI) Inflation Gauge for August: +0.0% m/m ( vs. prior was +0.2% m/m)
- PREVIEW of RBA & Australia interest rates – The RBA ‘shadow board’ on what to expect from the RBA tomorrow
- China Manufacturing Purchasing Managers Index (PMI) for August 51.1 (prior 51.7)
- Australia – Q2 Company Operating profit & inventories data
- Japan Markit/JMMA Manufacturing PMI for August: 52.2 (vs. prior 50.5, flash was 52.4)
- China – HSBC/Markit Manufacturing PMI for August: 50.2 (vs. expected 50.3)
Plenty of news and data from the weekend and through the Asian Monday session but little movement across currencies.
AUD and NZD both traded lower in the early New Zealand morning, with AUD bouncing back from sub-0.9320 levels to trade higher for the balance of the session, while the Kiwi $ found buyers sub-0.8340 and it, too, moved higher for the balance of the session.
EUR/USD trickled lower, briefly under 1.3120 and showing very little bounce. Firmly nestled on its lows as of writing.
USD/JPY moved higher on the week’s opening, running into offers around 104.20 and settling within a sub-10 point for range for the balance of the session.
Little movement, too, in GBP, CHF or CAD.
