Forex news for Asia trading Wednesday 21 September 2016
As I post, still no BOJ announcement. The later the announcement comes, the more likely there is a policy change afoot.
- NZ August credit card spending -1.4% m/m (prior +2.4%) and +1.9% y/y (prior +5.6%)
- Yen moves higher
- PBOC says it didn't intervene in yuan, HIBOR
- BOJ announcement won't be too far away now ... poll time!
- Japan chief cabinet secretary Suga: BOJ, govmt working together closely
- Macquarie says its a “mini-renaissance” for commodity markets & more to come
- Currency rigging lawsuit suffers setback
- Australia - bond market signaling new RBA Gov likely to end the easing cycle
- PBOC sets yuan reference rate for today at 6.6738(vs. yesterday at 6.6595)
- Japan - More on that data showing an 11th consecutive month of exports declines
- Trading The BoJ: Views From 15 Major Banks
- Federal Reserve FOMC & BOJ webinar preview - full video (plus an added bonus!)
- Australia - Westpac Leading Index for August unchanged m/m (prior +0.05%)
- Japan August Trade balance: Y -18.7bn (expected Y 191.0bn)
- China headlines coming up ... Premier Li Keqiang about to speak
- EURUSD tests the three day extremes and 200 day MA
- NZ net migration for Aug comes in at 5600 vs revised 5610
- Forex technical analysis: USDCAD moves below the 100 hour MA
- Japan press reports Abe, May discuss easing Brexit woes for Japanese firms
- If you're gonna ask 'What time is the BOJ announcement today?', check this out
- Fonterra increases 2016/17 forecast farmgate milk price by 50 cents
- Trade ideas thread - Wednesday 21 September 2016
- Oil - Private inventory data shows surprise draw (a big one)
- USDJPY technical levels through the BOJ meeting
The focal point of the session was the expected Bank of Japan announcement. Unlike other central banks the BOJ does not schedule a time, so markets were left waiting.
We did get Japan August trade balance data during the Tokyo morning, and another poor export performance.
GBP ticked a little higher early, some GBP/JPY cited. GBP/USD soon returned to be nearly unchanged on the session as i update.
EUR and CHF both did little. Even AUD and NZD had a subdued session. If it wasn't 'waiting for the BOJ' cited as a reason to chill for the session it was 'waiting for the FOMC'.
USD/JPY, too, traded a narrow range, until around lunchtime it got hit lower hard, from 101.60 area to around 101.25 in seconds, and then nearly as quick bounced back. Liquidity thins notably in the hours leading up to the announcement (even though we don't have an exact time), which can lead to sharp moves like this.
As I write the wrap it appears the BOJ meeting is still ongoing. The comprehensive review that as announced at the previous meeting is being thoroughly chewed over it would appear ... keeping the market waiting just a little but longer ...
And ... as i update USD/JPY has popped toward 101.90 while still we wait.
Regional equities:
- Nikkei +0.18%
- Shanghai -0.04%
- HK +0.26%
- ASX +0.50%
Still to come:
- We still await the BOJ announcement ... I'll be around until it comes!
- Then the FOMC in the US afternoon and then the RBNZ
