- Australian inflation data this week - the RBA will be eyeing it for the February 7 meeting
- No Federal Reserve speakers today. ECB President Lagarde is speaking.
- European Central Bank deposit rate will reach 3.25% in Q2 say analysts
- Are these the 11 most important dates to come in 2023? (Spoiler US CPI data)
- ICYMI - Citi drops its call for 50bp at the Fed Jan/Feb meeting, now projecting +25bp
- JP Morgan sees a lower chance of a US recession
- Bank of Japan - Minutes of the Monetary policy Meeting on December 19 and 20, 2022
- CEO of oil services giant Schlumberger on upside oil price dynamics
- Weekend oil - Yellen says setting price caps on Russian refined oil products complicated
- WSJ Fed insider says its Open Market Committee (FOMC) preparing a 25bp rate hike next week
- ECB's Knot: "Expect us to raise rates by 0.5% in February and March ... to not be done"
- ECB's Rehn says he sees reasons for 'significant' interest rate increases before summer
- Trade ideas thread - Monday, 23 January 2023
- The economic calendar in Asia - Bank of Japan December meeting minutes
- Monday morning open levels - indicative forex prices - 23 January 2023
- Waller breaks down a wall and other technical walls are also broken. What next in Forex?
- Week Ahead - Highlights include: US PCE & GDP, BoC, Flash PMIs, Aus & NZ CPI
- China is on holiday all next week. Hong Kong and Singapore also for around half of it.
- US stocks close with solid gains
In Asia on Monday markets were closed in:
- Hong Kong
for Lunar New Year holidays. All three will be closed again on Tuesday. The full list of the extended Asian timezone holidays can be found here:
The absence of key markets meant thin liquidity trade in the region.
News and data were very limited. We did get the minutes of the Bank of Japan December meeting (see bullets above). At that meeting the Bank widened the band within which the 10-year Japanese Government Bond is permitted to trade, a decision that sent shock waves through global markets. From the time, as a reminder:
- ForexLive Asia-Pacific FX news wrap: BOJ pivot sends the yen rocketing higher across board
- ForexLive European FX news wrap: Yen flying high after BOJ policy tweak
- Forexlive Americas FX news wrap: Yen hits new highs as the BOJ fallout continues
The impact of the minutes was minor only. Much of the material is covered in the BOJ 'Summary of Opinions' of each meeting that is released weeks ahead of the full minutes:
From the Wall Street Journal we had a piece from ‘Fed whisperer’ Timiraos, confirming the Federal Open Market Committee (FOMC) is set for a slower, +25bp, rate rise at the January 31/February 1 meeting.
Over the weekend we had hawkish comments from two members of the European Central Bank policy-setting board, Rehn and Knot (see bullets above). In contrast to a slowing Fed the ECB is looking set to carry on with +50bp rate hikes in both February and March.
EUR/USD added to its gains during the session, benefiting from the Fed/ECB news.
The USD fell more widely also: AUD, GBP running ahead with gains for other FX also.