Forex news for Asia trading Friday 18 November 2016
- BOJ Dep Gov Nakaso: No comments on economy nor monetary policy
- Statistics NZ expects to resume data releases from Monday 21st November
- BOJ's Kuroda says will continue to use fixed-rate operations as needed
- Deutsche Bank says the BOJ should start tapering - very gradually
- China: "recent curbs to property purchases may be having some effect"
- Sth Korean official says current declines in the won are a little excessive
- China October property prices out now: All China new home prices +12.3% y/y
- PBOC sets USD/CNY mid-point today at 6.8796 (vs. yesterday at 6.8692)
- Commonwealth Bank of Australia change their RBA rate call - on hold during 2017
- No sign of Stats NZ New Zealand data yet, but private confidence data out
- EUR trickling a little lower still - USD higher nearly across the board
- AP reports Trump has offered Flynn the job as Nat Sec Adviser
- Japan finance minister Aso: Ideal for currencies to be stable
- JP Morgan expects a 'modest' lift in US GDP starting H2 next year
- The Trump and Japan PM Abe meeting 'attempt to smooth relations'
- Venezuelan oil minister says agreed with China to increase production
- USD/JPY on a stop pop through 110. Takes out barrier there.
- Goldman Sachs top ten trades for 2017! (But there is only 6)
- Deutsche Bank on a 'Once in a century event'
- Trade ideas thread - Friday 18 November 2016
- Goldman Sachs Top Ten Market Themes for 2017
Continuation for the USD today in Asia, most notably against the yen. An early session move through 110 took USD/JPY above 110.25 before a period of consolidation around the fixing, and then it was off higher again. As I update USD/JPY has topped ahead of 110.80, for the time being at least.
EUR, CHF, GBP ... all came off against the USD also, though not to the same extent. Yen crosses higher. The moves from the Bank of Japan yesterday to buy as many JGBs as it takes to push yield back to around zero resounded here again today, Kuroda reiterating his determination and flowing through to yen weakness again.
AUD and NZD traded lower alongside other currencies. Little in the way of news or data flow. Statistics New Zealand have done a great job after a very tough week for the country in the wake of Monday's huge earthquake - the agency will begin issuing official data again from Monday (we got a hint at Q3 Retail sales today)
Gold is lower on the session, as is oil.
The People's Bank of China devalued the CNY against the USD again today; the 11th day in a row (longest run ever apparently). There is some chatter about that the PBOC has used state-bank CNY buyers to act as intervention to slow the fall of the yuan. While the USD continues its surge its likely the PBOC will go with it, but the chatter indicates they would like to slow the pace of the CNY's fall. Along similar lines, a South Korean official today said the won was a little too weak (again, this USD is a steamroller, best to stay out of the way while it trundles on).
Late breaking:
- Eamonn announces he has stopped ForexLive plans to move to Mexico
