- Japan former FX interventionist says current weak yen is detrimental to Japan's economy
- Payroll firm says its data suggest US jobs market is strengthening
- RBA seen hiking rates faster, higher
- Poll: near unanimous expectation of a July ECB 25bp rate hike, majority see +50 in Sept
- Credit Suisse say China's fiscal stimulus will have a big impact on the global economy
- PBOC sets USD/ CNY mid-point today at 6.7079 (vs. estimate at 6.7046)
- Intervention on the Korean won looks likely. USD/KRW hits 1,300+
- Japan preliminary Jibun PMIs for June. Manufacturing 52.7
- Fed Chair Powell will face another grilling in Congress on Thursday
- China COVID update - Shenzen announce anyone entering a public venue needs a PCR test
- MUFG see USD/JPY as high as 138.50 ahead. Says the main risk is Bank of Japan intervention
- Austalia preliminary PMIs for June. Manufacturing 55.8 (prior 55.7)
- ICYMI - Citi sees a 50/50 chance of a recession
- US Admin official says G7 will address energy and food issues
- Goldman Sachs "Reverse Currency Wars" thesis, forecast EUR/CHF as low as 0.95
- Trade ideas thread - Thursday, 23 June 2022
- ICYMI: Toyota has cut its July global production plan by 50,000 vehicles
- Forexlive Americas FX news wrap: Fed Powell testimony keeps all the doors open for the Fed
- Oil has lost ground after the private survey of inventory headline build (draw expected)
- Oil: private survey of inventory shows a build in headline crude stocks
- US Energy Information Administration (EIA) says inventory data releases will be delayed
- US stocks have an up and down ride today. Close lower on the day.
USD/JPY dribbled slowly lower for the session and as I post the wrap has accelerated to the downside. Former Japanese Vice Finance Minister for International Affairs, Takehiko Nakao, who was responsible for instructing Bank of Japan intervention in the yen should he deem it necessary, was reported on news wires a few minutes ago as saying the current weakness in the yen is not beneficial to Japan’s economy. This has prompted the accelerated drop in USD/JPY.
Across other major FX the USD has mainly strengthened. AUD, NZD, GBP all slipped a little during the session. This has meant yen crosses lower.
On the data front today we had a counter point to Nakao’s view. Preliminary PMIs from Japan for June all came in firmly in expansion. Manufacturing was down a little from May but services gained.
Australian flash PMIs also recorded expansion readings.
In China, Shenzen introduced mandatory COVID tests for those wishing to use public transport or attend public venues. The outbreak in Shenzen has been in tiny numbers (so far) but Chinese authorities have nevertheless responded in their rapid fashion.
Oil fell on the session. The private inventory survey showed a build vs. the draw that was expected. Recession fears were a theme playing on commodities (and commodity FX)