Forex news for Asia trading Tuesday 18 June 2019
- ICYMI - Facebook unveiled its cryptocurrency, Libra, on Tuesday US time
- More again from Japan's Asakawa - sales tax hike will go ahead in October on schedule
- More from Japan's Asakawa - BOJ policy not aimed at manipulating currency
- Japan's Asakawa comments as the 10 year yield drops near the bottom of the BOJ range
- Policy stimulus news from the PBOC - conducts 1 year MLF
- AMP on job vacancy data - Australian unemployment rate to rise to 5.5%, RBA to cut 3 more times
- Australian job vacancy data for May down 0.7% m/m and down 5.7% y/y
- PBOC sets USD/ CNY mid-point today at 6.8893 (vs. yesterday at 6.8942)
- Trump says we will have a fair deal with China or no deal at all
- PBOC to sell bills in Hong Kong, 30bn yuan
- Trump has asked White House lawyers for options on removing Powell
- Australia - Westpac leading index for May: -0.08% m/m (prior -0.09%)
- Here's what happens when buyers > sellers
- Japan trade balance data for May, exports slide but not quite as badly as expected
- UK Opposition leader Corbyn will support Brexit policy change - second referendum
- China's President Xi says he supports North Korea's direction to solve the Korean peninsula issue politically
- Reuters surveyed firms in Japan - two thirds of them want MOAR stimulus
- China asks state-owned ‘national champions’ to help ‘stabilise’ economy
- New Zealand data - current account in better than expected
- UK Times report UK opposition leader Corbyn will support changing Brexit policy for a 2nd referendum
- The most crowded trades are both in the US (looking at you USD!)
- BofAML June Global Fund Manager Survey - most bearish survey of investor confidence since the GFC
- Morgan Stanley on the canary's warning from the RBA
- Trade ideas thread - Wednesday 19 June 2019
- Canadian government approves Trans Mountain pipeline, as expected
- Private oil data shows smaller than expected draw in headline crude oil inventory
- ECB said to be divided on next monetary policy step. Rate cut, more QE both in play.
- US President Trump says China wants to discuss the future. Also wants to demote Powell.
The UK Times cited a senior UK Labour Party source for the information, saying Opposition leader Corbyn will announce on Wednesday that the Labour party will change its Brexit policy to support a second referendum in all circumstances. The news gave a boost to GBP., not a big one, but it moved up from around 1.2550 to above 1.2665 before flattening out. This, of course, followed the much bigger move during US time.
Other currencies were on the move also (again, following much bigger moves in the lead into Asia time). AUD/USD and NZD/USD extended their overnight gains by a few points before they too flattened out and pulled back to little net session change.
EUR/USD maintained a bare 10 point range, while USD/JPY tested above 108.60.
News and data flow, apart from Corbyn, was not notable.
Its not unusual for pre-FOMC sessions in Asia to be a little restrained. Traders are circumspect, and adding the feeling was the BOJ and BOE yet to come on Thursday.
Still to come:
