Forex news for Asia trading Monday 18 March 2019
- Is this Brexit pic NSFW? Only one way to find out ;-) … Here we go!
- Weekend news on Deutsche Bank and Commerzbank merger talks
- Japan trade balance recap - imports fell most in more than 2 years
- PBOC sets USD/ CNY mid-point today at 6.7088 (vs. yesterday at 6.7167)
- WSJ reports the US DoT is investigating the FAA approval of Boeing 737 Max jet
- Singapore February exports surge back from huge drop in January
- China's President Xi Jingping to visit Italy, Monaco, France for March 21 to 26
- BCC cuts UK GDP forecasts, expects capex to drop by the most in 10 years
- UK data - Rightmove house prices +0.4% m/m (prior +0.7%)
- Japan trade balance data for February: Y 339.0bn (vs. expected Y 305.1bn)
- Brexit - Hammond says “significant numbers” of MPs support, but “not there yet”
- China, US said to delay Trump-Xi meeting to … now its June!
- BOJ Governor … "Will the sixth year be a charm for Haruhiko Kuroda?"
- UK ex foreign minister wants a delay to the third meaningful Brexit vote
- New Zealand economists have lower 2019 GDP forecasts
- New Zealand services PMI for February: 53.8 (prior 56.3)
- Trade ideas thread - Monday 18 March 2019
- Weekend Brexit news - Conservative MPs to May: price of support is she leaves
- South Korea is considering talks with North Korea
- Russia's Novak says country has begun cutting oil output as part of OPEC+ deal
- Monday morning open levels - indicative forex prices 18 March 2019
- DUP wants a seat at trade talks in exchange for backing May
- Video: Why central banks keep getting it wrong
The Australian dollar moved above 0.71 in afternoon trade here today to a multi-week high, spurred on by stop-loss buyers being triggered above the figure. The background to the move are:
- heightened expectations of RBA rate cuts (driving short sellers at perhaps unfortunate entry points)
- An FOMC expected to be dovish mid-week
- Iron ore gaining on the session (China cranking up the stimulus)
- Better trade data out of Singapore for February (albeit with wariness on seasonal influences)
The result has been AUD/USD up towards 0.7120, and AUD/JPY higher with gains for USD/JPY on the session.
NZD/USD has had a good move up alongside. Other currencies have also been beneficiaries against the USD (GBP, yen are exceptions). EUR, CAD and CHF have all showed gains against the USD on the session (to varying extents).
USD/JPY edged a little higher through the day, in a tight range only. Cable is barely net changed as we await a Brexit-headline filled morning ahead from the UK.
News of note (bullets above for more),
- it looks like further delays to the mooted Xi-Trump summit,
- Japan's trade balance improved (but do read the details, not so hot),
- and of course the various weekend Brexit headlines
- trouble deepens for Boeing (can't be good for US exports!)
Still to come:
Tuesday:
Wednesday:
- Barclays on the FOMC coming up this week - 'risks are skewed toward a dovish surprise'
- Federal Reserve FOMC meet Wednesday - preview
Thursday:
