ForexLive Asia FX news wrap: Japan economy downgrade? China data.
Forex news for Asia trading Thursday 14 March 2019
- Ex-National Economic Council head Cohn: US desperate to sign trade deal with China
- Responses to China data coming in - like the data they are mixed
- China NBS says expects consumption to improve in March
- China February activity data: retail sales, investment beats, IP miss (and how)
- WSJ report a software fix to Boeing 737 Max 8 planes was delayed by govt shutdown
- China February activity data: IP, retail sales, asset investment out now
- Pricing algorithms can learn to collude with each other to raise prices
- PBOC sets USD/ CNY mid-point today at 6.7009 (vs. yesterday at 6.7114)
- Société Générale: US economy heading for more substantial slowdown
- Powell was asked: 'Have you stopped raising rates?' Answer: 'Good question … '
- Japan's government considering a downgrade to its assessment of the economy
- UK RICS house price balance for February: -28% (expected -24%)
- Australia Consumer inflation expectations for March: 4.1% (prior 3.7%)
- Cryptocurrency - Another one bites the dust - Gatecoin exchange liquidation
- US Sec State Pompeo - China in a “league of its own” as a human-rights violator
- Look ahead to March 20 - could a big one - Brexit MV3 and FOMC!
- EUR/USD chart - targeting 1.14
- UK PM May to her own party rebels - back me or else! (risk losing Brexit)
- Brexiteer Rees-Mogg on what would make him vote in favour of may's deal
- UK press report the EU will tell Theresa May to ask for a long Brexit extension
- Oil (ICYMI) … OPEC warning on NOPEC (yes, really)
- JPM lowers its target for EUR/USD because of Europe Japanification
- Trade ideas thread - Thursday 14 March 2019
- Brexit - here's a note for your diary - third meaningful vote on March 20
- Brexit - Here is another ERG MP saying he won't vote for May's deal
- Brexit - UK senior euroskeptic MP Baker says he'll keep voting against May's deal
- This is probably the best summary of Brexit developments you'll find (ps. joke)
- Brexit - UK press reports Downing St to start fresh talks with DUP Wed. evening
- Brexit rumours - ERG MPs to indicate they'll vote for the deal
- The UK parliament will debate Brexit delay on Thursday
The US afternoon saw more Brexit headlines flowing through, sending cable on a surge even after its strong Europe/UK/US session, topping out above 1.3370. GBP/USD subsided as the session opened in Tokyo then Singapore and Hong Kong, coming back to under 1.3250 and just above there as I post.
Check the bullets above for how Brexit unfolded further here in the early hours (before the news flow dried up as the exhausted Brits hit the sack).
The Australian dollar was also (less of) a mover, dropping away ahead of the data from China today. The data was a mixed result, industrial output for (combined Jan-Feb) hit its lowest in 17 years, but retail sales was a bit better, while investment showed some stronger results in pockets (see bullets above). Upon the data release the AUD didn't do too much but as I update its beginning to drip a little lower for the session again.
USD/JPY gained pretty much throughout the session, topping out just over 111.60. Reports in Japanese media that the government is looking at downgrading its assessment of the economy (see bullets above) was a negative for the yen today. Note - the BOJ statement is due Friday (Japan time) and the spoiler is there is no change expected, but previews here:
- Bank of Japan meeting this week - Goldman Sachs preview - lowered assessments
- ANZ: Bank of Japan meet this week - preview
- The BOJ meet Thursday and Friday this week - preview
- BOJ monetary policy statement due Friday - preview
EUR/USD is little changed net for the day here.
Still to come: