Forex news for Asia trading for Tuesday 23 March 2021
- China's Premier Li Keqiang says again economic growth this year could exceed a target of above 6%
- China’s CanSino has approval for a clinical trial of a COVID-19 vaccine for inhalation
- Signs that North Korea is deploying multiple rocket launchers on a western border island
- New Zealand data - February credit card spending falls 1.9% m/m and falls 12.4% y/y
- More from Merkel - new British variant of coronavirus means we effectively in a new pandemic
- Need an introduction, or refresher, on monetary policy? 12 videos explainer.
- (US) Krispy Kreme offering free doughnut a day to anyone with COVID-19 vaccination for rest of 2021
- German Chancellor Merkel says we are in a race to get vaccinations done
- ICYMI - U.S., Canada, U.K. and EU sanction China over treatment of Uyghurs
- Biden administration concerned Johnson & Johnson may miss vaccine goal
- US to gather support from South American nations to push back against China's trade practices
- PBOC sets USD/ CNY central rate at 6.5036 (vs. yesterday at 6.5191)
- Japan finance minister Aso says Japan's finances are in a severe state, but not considering raising taxes
- Japan's MoF announces stimulus spending to support firms, workers
- Goldman Sachs bullish CAD vs. USD
- China financial press opinion piece says PBOC unlikely to tighten policy quickly
- Goldman Sachs revise their Topix target higher
- 'Catastrophic' floods in Australia's largest population state of NSW
- Here's a BTC opinion - Bitcoin could surge to $300,000 then drop 90%
- Australia weekly consumer confidence: 110.4 (prior 110.9)
- 3 key takeaways on risk
- North Korea dictator Kim Jong Un sent a verbal message to China's President Xi
- Bitcoin with a quick drop under 55K
- Trade ideas thread - Tuesday 23 March 2021
- Fed head Powell says Fed will continue to support the economy 'for as long as it takes'
- New Zealand announces measures to ease housing prices
Yellen says the US may return to full employment as soon as next year
The news from New Zealand was the government would implement new measures to curb house price rises. The new rules appear to be somewhat underwhelming but nevertheless the response of the NZD was a persistent decline through the session. BNZ attribute the weight on the kiwi $ to the market seeing dovish implications for the RBNZ (hikes come later), and also that the rate curve in NZ steepens due to the long-end continuing to be primarily influenced by global rates while this news should keep short-end rates anchored for the meantime.
NZD/USD lost 90+ points from US-time highs and dropped to a 3 month low,
AUD/USD fell, more slowly and not to the same extent, alongside. Co-contributors to the fall include 'catastrophic' flooding hitting Australia's largest population state (and city) and renewed sex scandals hitting the federal government.
There was also a US dollar influence, CAD fell away a few points (oil prices lost some ground during the session) as did EUR (Germany will impose a new lockdown for 5 days from April 1). The EUR/USD move was tiny I should note, EUR/JPY dropped a bit more.
Regional stock markets saw declines in China (the Shanghai Composite is -1.2% as I post, the Hang Seng -1.3%), fairly flat in Tokyo (Nikkei 225 is -0.1%).
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And, finally ... Some awful news out of the US with 10 people, including a police officer, killed in a mass shooting. Another one.
