- Chinese city Xi'an has been reclassified as a low risk area after its lockdown
- New Zealand tightened coronavirus restrictions - not as onerous as 2020 or 2021
- UAE Defence Minister says intercepted 2 Houthi ballistic missiles
- Australian inflation data is due Tuesday 25 January
- Federal Reserve FOMC meeting this week -BoA expect on hold
- Goldman Sachs expect FOMC rate hikes in March, June, Sept and Dec but the risk is for more
- Iran nuclear agreement unlikely without release of U.S. prisoners
- PBOC sets USD/ CNY reference rate for today at 6.3411 (vs. estimate at 6.3409)
- Japan Jibun Bank / Markit preliminary PMI for January - Manufacturing 54.6 (prior 54.3)
- Morgan Stanley now neutral on USD but still likes USD/JPY higher
- Biden is considering sending thousands of US troops to Eastern Europe and Baltics
- US orders diplomats' family members to leave its embassy in Kiev, Ukraine
- Expectations of significant easing for China property sector
- Former Morgan Stanley MD saysJapan PM Kishida's govmt is "sensitive to a yen depreciation"
- BlackRock's plans for a ‘Blockchain and Tech’ ETF was filed on Friday (January 22)
- Australia Markit preliminary PMIs for January Manufacturing 55.3 (prior 57.7)
- Trade ideas thread - Monday 24 January 2022
- Australian inflation data (Q4 2021) is due Tuesday - preview (and RBA implications)
- ECB's Rehn says he expects euro zone inflation of around 2% in next two years
- Monday morning open levels - indicative forex prices - 24 January 2022
- Hong Kong confirms 140 new covid infections -- most in 18 months
- The bitcoin selling continues on the weekend as it falls through $35,000
- US State Dept will evacuate families of embassy personnel in Ukraine as soon as Monday
- That feeling of being ripped off
The People’s Bank of China cut its rate on the 14-day reverse repo by 10 bps today, from 2.35% to 2.25% Last week the 7-day RR rate was cut by 10bps (and other rates also) so the cut today to the 14-dayer was not a surprise (it was the first 14-day RR since the cut to the 7-day). Further, the PBOC set the mid-rate for the onshore yuan to its strongest since the middle of May in 2018.
While in China, Hong Kong confirmed its most daily new coronavirus cases in 18 months (to 140) despite its restrictions.
Over the weekend tensions in Ukraine continued to mount. The US State Department ordered families of diplomats at its Kiev embassy to depart and issued a warning not to travel to the country.
Across FX USD/JPY was a notable gainer with a move just above 113.90 (and is not far from there as I post). USD/CHF also headed up, tracking to 0.9140 and just over.
Elsewhere there was a little movement only. While GBP has added a few points against the dollar EUR has dribbled a few tics lower. AUD and NZD are barely changed, up just a little, as is CAD (all against the USD). Gold is up small also.
Crude rebounded in Asain Monday trade. Bitcoin dropped under $35K over the weekend but managed a bit of a bounce towards $36.5K in Asia Monday.
Daily USD/offshore yuan chart - CNH still gaining: