Forex news for Asia trading Monday 5 October 2015

ForexLive Asia FX news wrap:

Forex news for Asia trading Monday 5 October 2015

Monday

  • Goldman Sachs says stronger currencies have added to tightening of financial conditions
  • No news conference on outcome of Pacific Trade Talks before Monday US time
  • World Bank cuts China 2015 GDP forecast to 6.9% (from 7.1%) and more here
  • Goldman Sachs maintain strong view for EUR/USD downside and USD/JPY upside
  • Japan data-Nikkei September Services PMI 51.4 (prior 53.7) & Composite 51.2 (prior 52.9)
  • Japan data-Labor Cash Earnings for August: +0.5% y/y (+0.6% expected)
  • NZ Treasury: Monthly Economic Indicators for September 2015
  • RBA meeting this week-NAB's 6 reasons the central bank will remain on hold
  • Australia-ANZ job advertisements for September: +3.9% m/m (prior +1.0%)
  • Morgan Stanley's Technical Chart of the Week is AUD/USD ... further upside
  • RBA meeting this week-Westpac on what to expect (Spoiler ... Hold)
  • Australia- TD / MI Inflation Gauge for September: 0.3% m/m (prior +0.1%)
  • Japan press: "Weak inflation keeps speculation over more QE alive"
  • Oil-UAE to stick with investment projects to boost energy output
  • Australia: AIG Performance of Services index for September 52.3 (prior 55.6)
  • Australian weekend press: RBA may need to cut rates in November, economists say
  • UBS on central banks in the week ahead - BOE, BOJ and RBA meetings, plus Fed, ECB
  • Saudi Aramco announce big cuts to oil prices over the weekend
  • Is technical analysis based on a flawed assumption that completely invalidates it?

Weekend:

  • World leaders set to announce deal in Trans-Pacific Partnership
  • The worst trading habit that makes you the most money
  • UK's Cameron says he can not guarantee to get the EU changes he wants
  • Norway's Solberg says instability of currency is a threat to economy
  • Merkel says VW scandal "drastic" but has not affected trust in German business
  • Russia could cut interest rate if inflation slows
  • The OIS market totally flouts the Fed
  • Ireland central bank governor down to four choices
  • Three reasons not to bet against the pound - Deutsche Bank
  • PBOC deputy governor: China is studying plans to curb currency speculation
  • Fed's Dudley: US policy makers "a long way" from being able to identify stability risks
  • UK govt. minister warns of leaving the UK unless substantial reforms agreed to
  • Citigroup says weak jobs data will see USD depreciate
  • Russia says they will take part in consultations on oil market situation

The USD weakened across the board in Asia today in nearly (not quite) uni-directional, grinding movement.

EUR and GBP gained around 50 or so points, while AUD and NZD were up around 40 and 30 or so points respectively. CHF didn't gain to the same extent as any of these.

News flow was limited ... there was plenty over the weekend and today in Asia but nothing to approach the impact of the NFP surprise on Friday.

Oil opened lower for the week and then traced out a gap-cover move back towards last week's closing levels. Gold was more or less flat.

Regional stocks had a good post-NFP day:

  • Nikkei +1.75%
  • HK +1.66%
  • ASX +1.84%
  • Shanghai ... China is closed for the Golden Week holidays and will reopen on October 8