Forex news for Asia trading Wednesday 24 April 2019
- E-Mini S&P 500 futures spoofing - charges dismissed
- Does this algo hold the key for an RBA rate cut?
- AUD drop on CPI's flat headline results, core measures under expectations also
- Australia Q1 CPI, headline 0.0% q/q (expected 0.2%)
- PBOC sets USD/ CNY mid-point today at 6.7205 (vs. yesterday at 6.7082)
- PBOC injects funds via TMLF
- Mnuchin and Lighthizer are heading back to China for MOAR trade talks
- UK firms downbeat outlook on jobs, investment - but to hire more in the short term
- Japanese data (March services PPI) comes in as expected at 1.1% y/y
- Bitcoin creator Satoshi Nakamoto identity to be revealed within the next week
- Australia - weekly consumer confidence from ANZ / Roy Morgan: 119.5 (prior 115.3)
- More Brexit - 'Political headlines are the main risk for GBP'
- Brexit - Where are May - Corbyn talks at? (Spoiler … nowhere) & where to for GBP?
- North Korea dictator Kim on his way to Russia for talks with Putin
- Trade ideas thread - Wednesday 24 April 2019
- Oil inventory data (privately conducted survey) shows larger than expected build
- US airstrikes target 32 oil tankers (Syria)
The Australian dollar dropped today when the inflation data came in at a headline 0.0% q/q (i.e. unchanged on the quarter), well below the consensus midpoint (median) expectation of 0.2%. It wasn't just the headline rate, though, the two 'core' measures, trimmed mean and weighted median, also came in below expectations. AUD/USD was marked down immediately from circa 0.7090 to under 0.7040. It has hardly bounced since the release.
Market pricing for a May RBA rate has risen to above 50% (and 60%), while further out months show an even more solid expectation. More in the bullets above what the RBA will be considering on May 7 at its next meeting.
NZD/USD fell alongside the AUD, but not to the same extent of course, from around 0.6650 its currently under 0.6520.
Apart from the Australian data there was little data or news that impacted and ranges elsewhere have been limited. USD/CAD has crept up a little more after the CAD was weak on Tuesday during US time (don't forget, there is a Bank of Canada meeting today, previews below).
EUR/USD is a few points weaker on the session, GBP/USD is barely changed, while USD/CHF is a few tics higher. USD/JPY had little more than a 10 point range, not much outside of 111.85/95. There is a Bank of Japan monetary policy underway, statement due tomorrow with a basically unanimous expectation of no change in policy.
Still to come:
