ForexLive Asia FX news wrap: USD losses extend in Asia post-Powell
Forex news for Asia trading Thursday 11 July 2019
- ANZ on oil - prices higher in H2 2019 on supply disruption risk
- HK press report China will not introduce another “giant stimulus programme”
- Australian housing finance data: May Home Loans -0.1% m/m (expected -1.0%)
- PBOC sets USD/ CNY mid-point today at 6.8677 (vs. yesterday at 6.8856)
- On the Fed / FOMC - another analyst call saying 25bp cut coming, not 50
- New Zealand monthly inflation measure 0.3% m/m and 2.8% y/y
- Australia - Consumer Inflation Expectation for July: 3.2% (prior 3.3%)
- Powell "dovish testimony … cementing rate cut expectations beginning 31 July"
- Bank of Canada policy statement "was more dovish than expected"
- Leaked documents expose lack of progress in US-UK trade talks
- CNN report 5 Iranian boats tried to seize a British oil tanker in Persian Gulf
- New Zealand Card Spending for June: Retail +0.0% m/m (vs. expected 0.7%)
- Dovish testimony from Powell, 3 rate cuts on the way, starting with 25bps in July
- Goldman Sachs assess the probability of a 50bp FOMC July cut at only 15%
- Goldman Sachs says to avoid short USD for funding carry trades
- Heads up - reports US airstrikes ready to start hitting Iranian targets in Syria
- France's plan to tax tech companies could lead to the US imposing new tariffs on the country
- CAD - Looking for the BoC decision? (amongst wall-to-wall Powell/Fed/FOMC reports) - Here you go!
- RBNZ Governor Orr secret speech (now on the web!)
- Anyone up for a racy video on the Bank of Canada July Monetary Policy Report?
- Just waking up? Fed Chair Powell testimony moved FX - summary
- Powell offers his reassurances to investors
- Trade ideas thread - Thursday 11 July 2019
- German economy minister says US and Europe could reach trade agreement before year end
- Nasdaq closes at record highs. S&P trades above 3000 for first time, but backs off.
A dovish Powell at his testimony to Congress Wednesday (he is there again later today) saw the USD lose ground and equities gain. This played out further in Asia today with currencies up against the dollar to varying extents while regional stock markets were higher also.
Fresh news was thin on the ground through the session, although we did get a few pieces of data (of limited forex impact).
In addition to currencies trading higher gold also held onto its gains and did manage above 1,425USD at one stage. For cryptos the news was not so positive, BTC/USD, for example, gave back ground further towards 11,500USD at one point during the session.
Its a busy session coming up Europe and the UK. Plenty of data and also ECB minutes (for their June meeting)
Still to come:
