Forex news for Asia trading for Wednesday 10 March 2021
- Morgan Stanley forecasts US GDP will return to pre-pandemic levels by the end of March 2021
- Non-fungible tokens (NFTs). Turning $175K into $20m in 6 months trading video highlights
- More on China's yearly GDP targets ... clearing the confusion?
- China inflation data for February. CPI -0.2% y/y (expected -0.3%) PPI +1.7% y/y (expected +1.5%)
- PBOC sets USD/ CNY central rate at 6.5106 (vs. yesterday at 6.5338)
- Bank of Canada monetary policy decision due Wednesday 10 March 2021 - preview (and where for CAD?)
- More on the Swiss National Bank CHF currency intervention
- US stock market regulator to examine payment for order flow after GameStop
- Australia - Westpac Consumer Confidence Index for March: +2.6% m/m (prior +1.9%)
- RBA Gov Lowe says would be comfortable with a lower AUD, but cannot say its overvalued
- More from RBA Gov. Lowe, says a tight labour market is key to driving higher wage growth
- Yellen promises to get $350bn in aid to state, local govmts as quickly as possible
- RBA Gov. Lowe: Still considering whether to move from April 2024 bond to November 2024
- Trade ideas thread - Wednesday 10 March 2021
- NZ data - Card spending (February): Retail -2.5% m/m and Total -3.2% m/m
- Private oil survey data shows large build in headline crude oil inventory
The USD found some strength during the timezone so far with a rise in UST yields helping it along. Major FX is weaker pretty much across the board in not-large ranges.
On the central bank front we had a speech and Q&A from Reserve Bank of Australia Governor Lowe today in which he reiterated his emphasis on the importance of wage growth as a key to monetary policy, growth that he is not expecting too much from until the jobless rate is at 4% or lower. This, in turn, will help inflation meet the RBA's 2% target. AUD/USD was more impacted by USD strength than Lowe today.
Stock market indexes in China opened higher but immediately lost some ground, leading to further weakness in 'risk' sentiment. China stocks soon recovered though and as I post the Shanghai Composite is up circa 0.7% and HK's Hang Seng up 0.4% and change. China's CPI for February data showed consumer-level deflation still but producer price levels rising at their fastest in more than 2 years.
Bitcoin jumped above US$55K to a high just shy of $56K but did not sustain up there and is sub $54K as I post.
Shanghai Composite:
