Forex news for Asia trading Wednesday 19 April 2017
- US VP Pence promises North Korea an "overwhelming and effective" response
- EM currencies best quarterly performance in almost 7 years - about to reverse
- US Sec State Tillerson: Concerns on Iran role as a state sponsor of terrorism
- Fitch says US tightening, trade risks weigh on APAC growth outlook
- Australian car sales - analyst flags 4 year lows in upmarket vehicle growth rate
- Bloomberg on "China's $8.5 Trillion Shadow Bank Industry Is Back in Full Swing"
- HK press: China eases yuan outflow controls in sign of recovered confidence
- AUD losing ground
- PBOC sets USD/CNY central rate at 6.8664 (vs. yesterday at 6.8849)
- USD/JPY & EUR/JPY orders
- EUR/USD orderboard
- Westpac's latest outlook piece for the RBA
- AUD and NZD orderboards
- Australia - Westpac Leading Index for March: +0.08 % m/m (prior -0.07%)
- GBP early Tokyo - subdued range
- Australia - Weekly Consumer Confidence: 112.6 (prior 114.8)
- ICYMI: China Premier Li says market confidence in yuan has significantly strengthened
- Japan press on the "shake-up at BOJ"
- New Zealand - Performance of Services Index for March: 59.0 (prior 58.8)
- Uh-oh ... IMF's more bullish assessment of Australia's economy
- Another chronology! All the times Theresa May said a snap election was a terrible idea
- Trade ideas thread - Wednesday 19 April 2017
- Just waking up? The GBP surge, as it happened
- UK Times report on poll: Conservative majority of 114
- ICYMI: ForexLive Americas FX news wrap: Cable soars to six-month high
- BUBA's Dombret: Sees 800 banks vulnerable to interest rate risk
- OIL - private inventory data shows smaller than expected draw
- Economic data due from Asia today - oh dear ...
After a 400 point (give or take) rally during UK/Europe/US time cable had a small range only during Asia. Its arguable whether 40 points is a rounding error, but maybe the whole time zone is?
Anyway, those looking for continued volatility after the huge surge overnight were disappointed, but with Europe/UK no too far away perhaps its just about to come again.
There was nothing in the way of news nor fresh catalysts to prod GBP.
Elsewhere, after underperforming in the overnight the AUD lost further ground today. Early support from some AUD/JPY interest (and government bond sales) gave way in early China time to a slew of sellers hitting bids, pushing AUD/USD to circa 0.7525 before some tentative support prevailed. Macro and trader names the sellers.
We got the weekly consumer sentiment data from Australia today (week ended April 16). While this high-frequency data point is quite noisy, there is a downtrend established for it. Given that private consumption makes up circa 60% of the economy the slide in sentiment like this is not a positive.
AUD losses were given a little nudge along by a little USD strength (GBP lower already mentioned) with both EUR and CHF losing a little ground. USD/JPY had popped (small) early, toward 108.70, but as of updating is now little changed on the session. NZD/USD, too, little changed net on the session.
Gold is a few dollars lower (not much in it) while oil dropped on the private inventory data in the US afternoon
Regional equities:
- Nikkei -0.01%
- Shanghai -1.11%
- HK -0.70%
- ASX -0.62%
