ForexLive Asia FX news wrap: China tariffs on Australian cereal export
Forex news for Asia trading Tuesday 19 May 2020
- China's Global Times says Trump response to COVID-19 pandemic is 'witchcraft'
- Fitch Ratings assess global output to contract 3.2% in 2020
- AUD high frequency data - "Slowdown in COVID-19 job losses"
- RBA May meeting minutes says Board is monitoring economic, financial developments
- NZD traders - heads up for the GDT dairy auction coming up Tuesday
- PBOC sets USD/ CNY reference rate for Tuesday 19 May 2020 at 7.0912 (vs. Monday at 7.1030)
- FX option expiries for Tuesday May 19 at the 10am NY cut
- RBNZ's Hawkesby says RBNZ projections assume NZD will fall
- Australia's trade minister says the Chinese tariffs on barley are concerning
- Nasdaq set to unveil new restrictions on initial public offerings
- RBNZ dep gov Bascand says NZD exchange rate at a level that's supporting exports
- Here is what's ahead for the proposed €500bn Recovery Fund (a rocky road)
- Japan's finance minister Aso says continued severe economic conditions ahead
- Australia weekly consumer confidence 92.3 (prior 90.3)
- Reports of a rocket attack into Green Zone, Baghdad
- NZ data: Q1 PPI output prices +0.1% q/q (prior +0.4%) & Input -0.3% (prior +0.1%)
- €500 billion cash splash + coronavirus vaccine = a big Monday (ICYMI)
- ICYMI: US crude production from 7 major shale formations expected to fall by a record in June
- Coronavirus ICYMI: 108 million people in Jilin province, China, back in lockdown
- China confirms 80% tariff on Australian barley
- Trade ideas thread - Tuesday 19 May 2020
- Terrible update, the United States coronavirus death toll has exceeded 90,000
- US Treasury Mnuchin says that he expects to see improvement in economy in H2
- Fed's Powell says will keep interest rates low until economy on track to hit goals
The news that China had confirmed an 80% tariff on imports of Australian barley saw the AUD ... trade higher. After a bit of fumbling around 0.6520 AUD/USD reached a high just over 0.6550. This was accompanied by a better bid NZD and GBP against USD before all three gave back their gains over following hours.
We had plenty of remarks out of the RBNZ today (despite this the range for NZD/USD was little more than only 15 points) and also a minutes release from the RBA (and data from Australia also).
Speaking of 15 or so point ranges USD/JPY traded this as well with little net change for the session as I post. Similar for EUR/USD, net a touch weaker on the day though.
Oil was down a little in price over the session, which spilt over into a touch of CAD weakness also. Gold clawed back some of its overnight loss.
As I post there is evidence of renewed US-China tension. The Global Times is a state-sponsored media outlet in China, its outspoken editor-in-chief tweeting that the 90,000+ US deaths from COVID-19 are due to Trump's lack of leadership in the crisis, the US President ignoring science and responding with 'witchcraft' in its place. This comes in response to Trump saying he was taking the anti-malaria drug hydroxychloroquine to help ward off the infection.