Forex news for Asia trading Tuesday 7 April 2020
- RBNZ will extend its asset purchasing program. QE to NZD 33bn total now.
- Japan PM Abe wants to issue an emergency declaration today, Tuesday
- JP Morgan quant strategist - have seen a peak in new case growth of US coronavirus
- Coronavirus - "Boris Johnson is extremely sick"
- International Monetary Fund see signs of economic recovery in China in pollution increasing
- NZ PM Ardern says signs that lockdown is working
- Australia ANZ survey of job advertisements for March -10.3% m/m (prior +0.7%)
- Australia trade balance for Feb: + AUD 4.36 bn (expected 3.8bn AUD surplus)
- FX options expiries for Tuesday 7 April 2020, 10am NY cut
- PBOC sets USD/ CNY mid-point today at 7.0939
- Japan to issue an additional approx. 16t yen in JGBs
- Japan Household spending for February -0.3% y/y (expected -3.3%)
- Australia weekly consumer confidence rises to 71.9 (from prior 65.3)
- Japan PM Abe says fiscal spending in economic package to be 39 tln yen
- Japan catch up - to move production back to Japan, earnings postponed
- Trump is supporting Pelosi's idea of further direct payments to Americans
- RBA explainer on the difference between conventional and unconventional monetary policy
- Australia - AiG Services PMI for March: 38.7 (prior 47.0)
- US President Trump says wants to try to lift restrictions on April 30
- Trump threatens India's PM with retaliation over hydroxychloroquine
- New Zealand Q1 business confidence plunges to -70 (previous -21)
- US President Trump says has reached agreement with 3M for 165m masks in coming months
- Coronavirus - Front page of the FT - Boris Johnson no longer in charge
- Coronavirus - UK PM Boris Johnson is receiving oxygen in intensive care unit
- OPEC+ meeting coming up on Thursday - here are the countries invited but have not accepted
- US House leader Pelosi says wants next economic relief bill of at least 1 tln USD
- JP Morgan's Dimon sees financial stress similar to the global financial crisis ahead
- Trade ideas thread - Tuesday 7 April 2020
- Boeing will temporarily suspend all 787 operations in South Carolina
- Coronavirus - President Trump and former Vice President Joe Biden spoke by phone
- BlackRock on 'unprecedented policy actions to limit the coronavirus shock'
- ICYMI - Singapore's Changi Airport to suspend Terminal 2 operations for 18 months
- UK - Dominic Raab steps up with a statement
News and data flow today was relatively non-impactful. I will note some encouraging news out of China, that the country reported no new coronavirus deaths for the first time since January 21.
The session for FX was characterised by a little USD weakness. USD/JPY dropped back under 109.00 and remains there as I update. Other currencies, too, added on small gains against the USD.
Data from Australia today indicated a wider trade surplus than was expected, but for February data, and it came by seeing exports fall not quite as hard as imports did. NZD traded a similar pattern to AUD, net higher on the session - NZ PM Ardern expressed optimism that the country's COVID-19 fighting strategy was paying off.
Gold consolidated its gains from overnight, peaking above 1675 before spending most of the session under 1665.
During the thin post-NY and pre-Tokyo market GBP dropped under 1.2200, to lows under 1.2170 before recovering nearly a big figure. News hit during the US session that UK PM Boris Johnson had been moved into intensive care and we await further news of his health as the UK day dawns. We wish everyone battling against the infection a full and swift recovery.
Coming up real soon (0430GMT):
And, later:
