- China state TV report Shanghai port back to 95% capacity
- Shanghai school resumption from June 6
- Australian Business Conditions and Sentiments points to higher inflation ahead
- ICYMI - China's urgent meeting to boost the economy, with 100,000 (yes 100K) attendees
- PBOC urges banks to increase credit to SME
- Australian Q1 capex headline -0.3% q/q (expected +1.5%)
- Apple to hike pay for hourly workers
- PBOC sets USD/ CNY reference rate for today at 6.6766(vs. estimate at 6.6742)
- South Korea's central bank hikes base rate by 25bp, as expected. 1.5% to 1.75% now
- Firms planning to relocate out of China have hit a decade high
- World Bank President Malpass: Russian invasion of Ukraine could trigger a global recession
- Japan data: April Services Producer Price Index +1.7% y/y (expected 1.5%)
- RBNZ Gov Orr again: We want to move rates quickly
- South Korea is expected to announce price control measures next week
- Commerzbank forecast Brent oil to $95 by the end of 2022
- UK car production fell 11% in April - chip shortages, supply issues, Ukraine cited
- Gold given a little of a boost after FOMC minutes
- RBNZ Governor Orr says interest rates in NZ must stay above neutral for a long time
- Morgan Stanley says risks for GBP skewed lower, BoE to pivot dovish in August
- Japanese media reporting foreign tourists will allowed from June 6
- RBNZ Governor Orr says the risk of recession has risen
- Fed vice chair Brainard on central bank digital currency
- UK government to give households up to GBP400 off energy bills
- RBNZ Governor Orr says monetary policy must act as a restraint
- Forexlive Americas FX news wrap:Fed should expeditiously move rates to more neutral stance
- Trade ideas thread - Thursday, 26 May 2022
- China coronavirus - Real-time trucking data in China no longer publicly available
The FOMC minutes released Wednesday during the US afternoon helped lift US stocks and sapped a little strength from the USD.
Regional equities here in Asia though didn’t get much follow through, a mixed performance while the FX front it was also mixed.
USD/JPY drifted away a little early on but did pop back, above 127.50 briefly. EUR, GBP, AUD, NZD, CAD all gained against the dollar in the morning (yen crosses were notably bid) but all have given it back to greater or lesser extents.
On the central bank front we had Reserve Bank of New Zealand testimony in parliament. RBNZ Governor Orr carried on his net hawkish message from yesterday.
In data we had Australian capex for Q1, a disappointing headline but bright spots in the data on equipment and machinery spending and also for private capital expenditure ahead (estimate 2 for the 2022-23 spend is up from estimate 1 by over 11%).
DXY 10 minute candles: