Forex news for Asia trading Monday 6 April 2020
UK Prime Minster Johnson admitted to hospital (as it happened):
- UK PM Boris Johnson admitted to hospital for tests as a precaution
- GBP lower in early (very early) Asia morning as UK PM Johnson admitted to hospital
- UK PM Johnson to remain in hospital overnight. Monday's Covid-19 meeting will be chaired by Raab
- RUMOUR that UK PM Johnson put on ventilator support
Here are the tests UK PM Johnson will undergo during his hospitalisation for worsening coronavirus
- Coronavirus - Italy is hoping to begin winding back confinement measures from mid- May (conditions apply)
- Tokyo Governor to speak Monday afternoon (Japan time) amidst climbing coronavirus infection numebrs
- Coronavirus - Sweden 5466 confirmed cases, 282 deaths, but no lockdown in place
- UK Times - govt ministers discuss how and when to ease coronavirus lockdown
- Coronavirus - Bloomberg have sighted the Japan economic stimulus package
- Coronavirus Kyodo (Japan press) report state of emergency to be declared April 7
- Westpac says the midpoint of its AUD ‘fair value’ model is 0.6150 (& the level where AUD is cheap)
- South Korea reports 47 more cases of new coronavirus, lowest daily count since the peak
- Australia: Melbourne Institute monthly CPI inflation for March: 0.2% m/m (prior -0.1%)
- New Zealand - ANZ Commodity Price index for March: -2.1% m/m (prior -2.1%)
- Trump says he likes the concept of sending additional economic relief checks to Americans
- Trump says if oil price stays the way it is he would do very substantial tariffs
- RBNZ Chief Economist says not preparing banks for negative cash rate at the moment
- UK - GfK Consumer Confidence for March, final: -34 (prior -7)
- Japan press reports a state of emergency to be declared on Tuesday or before
- US embassy in Japan warned US citizens to make arrangements to return to the US now
- Ireland Prime Minister Varadkar has re-registered as a medical practitioner
- Monday morning open levels - indicative forex prices - 6 April 2020
- Italy coronavirus lowest daily coronavirus deaths since March 19, France death toll slows
Weekend:
- New York reports coronavirus cases to 122,031 from 113,704
- 7 articles that will help you trade during coronavirus
- UK coronavirus deaths rise to 4932 from 4313
- Iraqi oil minister says any new deal needs support from key producers outside OPEC
- Trump says he will, if he has to, put tariffs on oil imports - to protect energy workers, companies
- RBNZ Gov Orr - says again will keep monetary support as long as necessary, strong fiscal position in NZ
- Canada and US discuss tariffs on Saudi/Russian oil imports - report
- Italy virus deaths rise to 15,362 from 14,681
- New York reports coronavirus cases to 113,704 from 102,863
- Monday's OPEC+ teleconference delayed until April 9
- UK coronavirus deaths rise to 4,313 from 3,605 a day ago
- Fresh Saudi / Russia oil spat? Saudi energy minister rejects Russia’s remarks.
US equity futures moved higher during the Monday session here in Asia to open the week after some less bad news on the coronavirus outbreak over the weekend.
- the death toll in Italy slowed to the lowest since March 19
- Spain & France also reported a reduced pace of deaths
- NY had its first decline in the number of deaths in a day (584 vs. 630 the previous day)
All of this is tentative and uncertain and I am sure there will be further bad news to come (more on this in just a moment) but despite this equities in overnight trade (US) and locally here in the region (except China, which was on holiday today) gobbled up the hopium and rallied.
Regional equities as I post
- Nikkei: +2.73%
- Hang Seng: +1.03%
- ASX: +3.42%
Along with a better bid for equities was the same for FX 'risk', AUD/JPY for example was gainer on the session with a 50 or so point move higher for USD/JPY and 40 or so points for AUD/USD. AUD/USD, though, has since given back nearly all of the rise. NZD/USD traded similarly to AUD. EUR/USD has done not a lot.
Oil news over the weekend and today (comments from US President Trump) was mixed, with Trump saying he may place tariffs on oil if production cuts are not forthcoming. Of more note, though, was despite expectations that Russia and Saudi can come to an output cut agreement the OPEC+ meeting was postponed from today (April 6) to April 9. Take special note of this, April 9 is Thursday and news (if any) is likely either just prior to markets shutting for the Easter weekend or perhaps after the close.
Oil gapped down to open the week, USD/CAD was up. Oil has subsequently ticked a little higher from its lows but is a long way from retracing its fall. USD/CAD did retrace its higher move as oil ticked back a little though.
GBP has been lagging. There was huge news out of the UK - the Prime Minister Boris Johnson was admitted to hospital with continued trouble from his coronavirus infection. Johnson has had COVID-19 for 10 days (if not a little longer) and has been self-isolating since his positive test. On Sunday in the UK though Johnson was taken to hospital for further tests. Try as we might to have a positive outlook on this, and indeed we all wish Johnson well for a full and speedy recovery, a person is not admitted to hospital, in an already stretched health system, without there being serious reason.
