ForexLive Asia FX news wrap: China official PMIs dip a little

Author: Eamonn Sheridan | Category: News

Forex news for Asia trading on Wednesday 30 June 2021

It was another session of muted ranges for major forex rates as Asia seemed content to await Friday's US nonfarm payroll figures. News flow was very light although we did get some data points, notably:

  • Japanese industrial production fell on the month, its first drop (m/m) in 3 months
  • Falling also were official PMIs from China (for June) although manufacturing held in with only a minor decline despite COVID-19 disruptions in the major industrial hub of Guangdong province
  • New Zealand business activity increased in June (although business confidence recorded a small drop)
  • Australian credit growth was once again led by the surging housing market

On the central bank front Federal Reserve Board of Governors member Waller gave a TV interview, he indicated he thought the Bank was still some time away from tapering (and rate hikes) given progress still needs to be made on employment. Waller said we should expect above-target inflation over coming months. Waller was a little more humble than many other Fed officials, literally saying that he could not rule out a rate hike next year, noting that the jobless rate would have to fall substantially or inflation continue at a very high rate before the FOMC would take a hike seriously.

Oil traded higher  - the private survey oil inventory showed a larger than expected draw which seemed to help give it a kick along. 

As I've said, major rates have been quietly rangebound, cable a stand out if you want one, up 40 or so points from session lows at one stage. There was no news of note for GBP, although the England team did win a soccer game (I know, its 'football' but I can't help myself ;-) ) 

gbp chart euro 2020

By continuing to browse our site you agree to our use of cookies, revised Privacy Notice and Terms of Service. More information about cookiesClose