- Timiraos on FOMC - rate cuts postponed "for the foreseeable future", Powell the main event
- JP Morgan's Marko Kolanovic cautions against buying the dip in stocks
- Citi says traders expect the biggest Fed-day move in the S&P 500 since 2023
- Japan may provide tax breaks for companies converting foreign profits into the yen
- RBNZ Deputy Governor Hawkesby says higher interest rates means cooling jobs market
- Japan April 2024 Manufacturing PMI (final) 49.6 (flash was 49.9, prior 48.2)
- Fed rate cuts in 2024? BlackRock's CIO predicts more monetary easing ahead
- Former Dallas Fed president Kaplan's solution for inflation not about the Federal Reserve
- Australia April Manufacturing PMI 49.6 (flash was 49.9, prior 47.3)
- New Zealand data: Unemployment rate 4.3% (vs. 4.2% expected, 4.0% prior)
- BoA on the FOMC meeting - more clarity on inflation is needed, in "want and see" mode
- Japan’s currency authorities "have entered a new phase" in their handling of yen weakness
- Reserve Bank of New Zealand - risk of persistent inflation, rates restrictive for longer
- Oil - private survey of inventory shows a large headline crude oil build vs. draw expected
- Goldman Sachs says yen trading volumes skyrocketed to nearly ten times normal on Monday
- Forexlive Americas FX news wrap: April ends with a thud
- Trade ideas thread - Wednesday, 1 May, insightful charts, technical analysis, ideas
There were market holidays in China, Hong Kong and Singapore today. China is out tomorrow and Friday also.
USD/JPY was once again a focus. The US dollar added on some points almost across the majors board although ranges were not large. USD/JPY is above 157.90 as I am posting with traders wary of renewed intervention from the Bank of Japan. We are heading into the Federal Open Market Committee (FOMC) meeting later today and perhaps the best hope for a respite for the yen is that markets are positioned for a less dovish Fed and we see a ‘sell the (USD) fact’ response. We’ll see.
From New Zealand today we had the Reserve Bank of New Zealand’s Financial Stability Report, in which the Bank notably warned that there remains a risk that new or persistent inflation pressures could mean global interest rates remain restrictive for longer, placing continued pressure on households, businesses and the financial system. Following the Report were employment data from New Zealand, with the unemployment rate rising while employment fell. In a press conference later, officials at the RBNZ accepted that sustained high rates in the country are resulting in a cooler jobs market.
AUD, NZD and CAD are all little changed against the USD. EUR, GBP and CHF are a little lower. As is yen, already covered above.
USD/JPY tip toeing higher
