Forex news for Asia trading Monday 8 February 2016 (AKA Superbowl)
Maybe I should title this the Denver Broncos beat Carolina Panthers NFL Season wrap ... 24-10 in Superbowl 50
China:
- While you were watching the Superbowl - PBOC yuan fix and OMOs
- PBOC Q4 Monetary Report issued over the weekend (Goldman Sachs comments)
- Many Asian markets closed today (& this week) for Chinese New Year
Japan:
- Japan January Bankruptcies: -6.38% y/y (prior +1.89%)
- More on the Bank of Japan leak investigation
- Magic formula for Japanese stocks - falling apart?
- Comments from BOJ's Kuroda and Iwata in parliament
- Barclays on the USD/JPY - downside targets
- JP Morgan says the BOJ could ease further in March
- BOJ's Kuroda and Iwata to appear in Japanese parliament today
- Japan - Dec. Labor Cash earnings: +0.1% y/y (expected 0.7%)
- BOJ January meeting "Summary of Opinions"
- Japan - BoP Current Account (December): ¥ 960.7bn (expected ¥ 1051.7B)
- Moody's downgrades Australian State to AA2 from AA1, changes outlook
- AUD/USD option expiries for today - biggie at 0.7175
- Buba, BDF heads call for integration and a common Europe Finance ministry
- Australia - ANZ January Job Advertisements: +1.0% m/m (prior -0.1% m/m)
- Australia - PM takes consumption tax hikes off the table
- Trade ideas thread for (what is pretty much a holiday) Monday 8 February 2016
- Someone doesn't like the euro ... France's National Front. Fexit?
- Someone likes the euro ... Iran wants oil payment in euros, not USD
- Around 150 UK North Sea oil platforms expected to be scrapped over next 10 years
- German authorities shutter local branch of Canadian bank
- Merkel and Hollande meeting - 'Brexit' discussed
- OIL - Saudi, Venezuela weekend meeting concludes - no production cuts announced
- Monday morning FX 8 February 2016 - foreign exchange prices, early indications
Weekend:
- Drop in Chinese FX reserves leaves 3 questions unanswered
- China's forex reserves end-Jan $3.23trln vs $3.21trln exp
- UK's Cameron faces growing dissent over EU reforms
- What to do when #$!* hits the fan
- North Korea fires long-range missile, powers request UN meeting
- EUR/USD orders for today (just kidding, but you'll want to read)
- The big trading lesson from the past week -- stay afloat
- Finding the balance between rules and flexibility
- The top 5 events for next week's trading: Feb 8-12
Along with the big football game it was holidays in Hong Kong, Singapore, China and New Zealand today. This made for a subdued beginning of the week, but nevertheless we had some some forex movement and a choppy day in those equity exchanges that were open.
USD/JPY gained steadily from early lows, up from around 116.80 for a near 50 point gain to above 117.20 before settling sideways (and, making a liar out of me its poking to new session highs as I update ... right after data that I said wouldn't move the market. Pants on fire). Data and BOJ activity from Japan did not have a big impact, and neither did testimony of Bank of Japan (BOJ) Governor Kuroda and Deputy Iwata in the Japanese parliament. Wage growth came in low (weak bonuses weighed) from Japan for December, ahead of the Shunto wage negotiations beginning soon.
AUD and NZD both recovered from slightly weaker openings in quiet trade. ANZ job ads data from Australia today further indicated the gains in the employment market.
Weekend oil news on the meeting between Venezuela and Saudi Arabia, it failed to produce any agreement on cutting production. When I say this was news, I mean of course it was not news, expectations were nearly non-existent of any progress on this. The oil price weakened during the session but now its net not changed much at all.
Gold dipped and then headed sideways around 1165/1168 USD.
USD/CHF and Cable eked out gains, EUR/USD is a little weaker while EUR/JPY gained.
With China out for the week we'll be getting no trading in Chinese stock markets Monday-Friday, not will we be getting any OMOs from the PBOC this week.
Regional equities were choppy:
- Nikkei +0.72%
- Shanghai Closed
- HK Closed
- ASX +0.5%
