Forex news for Asia trading Monday 16 December 2019
- AUD traders heads up - RBA policy meeting minutes coming up on Tuesday
- Weekend - China says will retaliate against Germany if Huawei excluded from 5G
- China Stats bureau says China, US should continue talks towards removing tariffs
- China November Industrial Production 6.2% y/y (vs. expected 5.0%)
- China November Retail Sales 8.0% y/y (vs. expected 7.6%)
- China Fixed Assets investment (excluding rural) YTD 5.2% y/y (expected 5.2%)
- More on China to lower its GDP target band next year
- PBOC injects 300 bn yuan via 1 year MLF loans
- China house prices for November - new home prices +7.1% y/y (prior +7.8%)
- PBOC sets USD/ CNY reference rate for today at 6.9915 (vs. yesterday at 7.0156)
- FX option expiries for Monday December 16 at the 10am NY cut
- Japan preliminary PMIs for December - manufacturing down on the month (services up)
- Australian finance minister says there is no need for more fiscal stimulus
- BOJ Tankan follow-up out now - firms' inflation expectations down slightly
- US Trade Representative Lighthizer spoke over the weekend - trade deal 'totally done'
- Another GDP forecast downgrade - now from New Zealand
- Boeing is consider cutting production of 737 Max even further. Perhaps a complete halt.
- Australia MYEFO out now - cuts GDP forecast
- More on China cutting tariffs on some US goods
- Australia CBA / Markit preliminary PMIs for December are all down on the previous month
- Trade ideas thread - Monday 16 December 2019
- Westpac on the RBNZ - expect on hold in H1 2020
- New Zealand services PMI for November: 53.3 (prior 55.4)
- Turkey - Erdogan threatens to shut down American Incirlik Airbase
- Brexit - Japan wants an instant & complete removal of auto tariffs in trade deal with the UK
- Monday morning open levels - indicative forex prices - 16 December 2019
- How to make FX trading work for you part 2
- SNB Chair Jordan says Bank could cut rates further, if necessary (but not now)
- How to make FX trading work for you part 1
GBP gained from opening levels on the session here on Monday, leaving other major currency moves as a lacklustre bunch indeed. There was no fresh news of note for the UK here on Monday, apart from some election fallout and analysis.
GBP/USD approach 1.3400 but as I update it so far has not managed to quite get there.
Other news was non-impactful for major FX. The Australian government released its mid-year budget and economic update with a downgrade for the GDP outlook but still no added fiscal stimulus. The finance minister hammered home the 'you're on your own' message to the RBA later, once again ruling out added government investment. A potentially more upbeat take on the MYEFO (the mid year fiscal and economic update) is the very conservative estimates used by the Treasury, notably on iron ore forecasts, which has left room for probable upside surprises.
AUD/USD has generated little direction on the day. Here.
It was not helped by some better than expected data from China, most notably on industrial production which out in a solid beat.
EUR/USD is up a few tics on the day, as is USD/JPY and kiwi. All in small ranges only.
