Forex news for Asia trading Thursday 19 September 2019
- CBA brings its RBA rate cut call forward to October
- BOJ announce September policy decision - unchanged
- Australia August Employment Change: +34.7K (vs. expected 15K), U/e rate 5.3% (5.2% expected)
- PBOC sets USD/CNY reference rate for Thursday at 7.0732 (vs. yesterday at 7.0728)
- FX option expiries for Thursday September 19 at the 10am NY cut
- NZ GDP cements expected RBNZ rate cuts
- A Fed dots "who's who" says another rate cut this year
- Gold a goner after the FOMC - here's why
- German Finance Minister says no deal Brexit would not be good
- HK cuts base rate by 25bps
- NZD pop on the GDP data - stops at resistance
- US Sec of State Pompeo says US stands with Saudi Arabia
- New Zealand Q2 GDP: 0.5% q/q (expected 0.4%)
- More FOMC responses incoming … hawkish cut theme solidifies
- Japan's foreign minister says confirmation of no new levies on autos needed before signing trade deal
- North Korea is developing its own cryptocurrency - to avoid sanctions, circumvent US-dominated financial system
- Some FOMC responses (and where to for EUR/USD)
- Brazil's central bank cuts benchmark rate by 50bps
- Trade ideas thread - Thursday 19 September 2019
At least bitcoin sold off harder! The crypto dropped 500 or so USD in moments here today.
In major traded currencies it was AUD/JPY that got hit.
NZD had a small pop after Q2 GDP data came in above the median estimate, but the kiwi only got as far as short-term resistance noted around 0.6330 before falling back and to fresh session lows. Its been as low as circa 0.6300 on the day.
AUD was heavy for pretty much all of the session, with added seeling pressure hitting after the August employment market report. The twin headlines on the report sparred for prominence, with employment growth a solid beat while the unemployment rate rose for a miss. The details in the report were not overly encouraging (apart from participation which is at a record high). AUD/USD slid under 0.6800 and has since dropped further with CBA publishing a freshened view moving forward their expected RBA rate cut from November to October.
Yen, on the other hand, steadied and for most of the Asian morning. The Bank of Japan unchanged policy decision (steady at massive easing) saw USD/JPY hold circa 108.10 for a half hour or so before it fell under 108. Add AUD weakness and yen strength together and you get, you guessed it, a sad day for AUD/JPY:
Elsewhere moves were much smaller, EUR/USD is up small, cable is barely changed while USD/CAD moved up a tad before coming back to be also little changed. USD/CHF has followed a similar path.
