Forex news for Asia trading Tuesday 18 February 2020
- China says applications received for tariff exemptions for some imports form the US
- ICYMI: Trump admin considering cutting Huawei off from global chip suppliers (eg. TSMC)
- Asian airlines reducing flights
- American Chamber of Commerce in Shanghai survey - lack of staff the biggest challenge
- More from the China SASAC official
- Coronavirus - European business group chief: Synchronisation of supplies hampered in China (ps. could be a shortage of antibiotics globally)
- China trade body says some customers have stopped accepting China metal products amid coronavirus outbreak
- China's state asset regulator keeps SOE's targets in place - says coronavirus impact is temporary
- South Korean President says the economy is in an emergency due to coronavirus
- FX option expiries for Tuesday February 18 at the 10am NY cut
- Goldman Sachs analysts expect the coronavirus economic impact to be limited - BTD
- Federal Reserve FOMC January meeting minutes are due this week - preview
- PBOC sets USD/ CNY mid-point today at 6.9826 (vs. yesterday at 6.9795)
- RBA February meeting minutes - extended period of low rates required
- China official report: Total mainland cases 72,436 as of Feb 17
- Japan fin min Aso: Domestic fundamentals fairly solid, need to closely monitor coronavirus impact on economy
- UK chief trade negotiator says Brexit can benefit all of Europe
- China's cargo crisis - some carriers plan to declare force majeure, abandon containers
- China's Hubei province reports 1,807 new cases of coronavirus infection
- Australia weekly consumer confidence 109.1 (prior 107.8)
- Japan press: Tokyo Metropolitan Government says the coronavirus may be spreading in the capital
- Citi expects oil prices to stay weak in H1 2020 before finally recovering toward year-end
- Trade ideas thread - Tuesday 18 February 2020
- BHP warn that if viral outbreak not contained it expects to revise down expectations
- Apple says it doesn't expect to meet revenue guidance this quarter
The news that set the tone for the session here was from Apple:
This rattled market complacency on the economic impact of the coronavirus impact somewhat, sending risk assets lower (US equity futures opened down once reopened for 'overnight' trade) and gold up. In the forex space the move was out of AUD/JPY with a lower AUD and higher yen. NZD and CAD fell also, but even EUR was a touch weaker (before rebounding to be little changed on the session)
Apart from the RBA minutes (nothing surprising in these) news flow was dominated once again by coronavirus developments. The rate of spread of the disease seems to be slowing, according to official figures from China) but the economic damage, even if only for the short-term, is becoming more apparent.
