Forex news for Asia trading Wednesday 14 October 2015
New Zealand, Australia
- RBNZ's Wheeler: Some further easing seems likely
- Forex technical analysis: NZDUSD falls on Wheeler comments but rebounds
- Australia-Westpac hikes home loan interest rate
- Westpac rate hike makes an RBA November rate cut more likely
- Macquarie on Westpac rate hike today, Nov. RBA rate cut all but sealed
- Australia press: 'Westpac move 'seals the deal' for RBA interest rate cut'
- New Zealand: S&P revises Fonterra outlook to stable from negative
- NZ government announces operating budget surplus
- Australia-Westpac Consumer Confidence for October: +4.2% m/m (prior -5.6%)
- China data-September CPI: +1.6% y/y (expected +1.8%) and PPI -5.9% y/y (expected -5.9%)
- PBOC sets USD/CNY mid-point for the trading day at 6.3408
- Think you know everything about oil? Think again: "New Economics of Oil"
- Singapore central bank monetary policy announcement
- Japan data: PPI and money stock
- Researchers say weaker EMs will slow Japan GDP growth
- The Federal Reserve is making "a mistake of historical proportions"
- Trade ideas thread for Wednesday 14 October 2015
- Venezuela says oil producer technical meeting to be held October 21
NZD the early mover with a 50-odd point plunge as Reserve Bank of New Zealand Governor Wheeler spoke, saying (amongst other things) that further easing seems likely. The NZD/USD was marked a lot lower but came back just over half way quite quickly before trading back to its low. The rest of the session was spent in retracement mode, with the NZD/USD now higher than where it was before Wheeler began.
AUD/USD came off with the kiwi, but not to the same extent, but it too soon started to lose ground. A home loan rate hike from a local commercial bank ignited talk of a November rate cut from the RBA, which contributed to the weakening on the currency in the morning.
AUD/USD fell (in a spike back to its lows) after Chinese CPI and PPI data (CPI was lower than expected, PPI on expectations) and then AUD/NZD sellers kept it under small pressure (and added to the kiwi recovery) when the New Zealand government announced a surplus (for details, see bullets, above).
USD/JPY sellers were spurred on by falls in the Nikkei, but after hitting lower than the overnight (just under 119.50) it came back to around 119.70. So not a big range for it today.
EUR, CHF and GBP all had small ranges against the USD. EUR attempted 1.1400 twice (one just above, then second time falling short a few points. Cable, on the other hand, while not a large range, has had a steady tick higher.
Oil ground out a few cent gain, gold jumped above $1174.50 before settling. Regional equities generally took the lead from a lower Wall Street:
- Nikkei -1.46%
- HK -0.5%
- ASX -0.14%
The Monetary Authority of Singapore (the country's central bank) has slightly reduced the rate at which the SGD will appreciate (for details, see bullets, above).
Still to come: