Forex news for Asia trading Thursday 25 July 2019
- More from RBA Gov Lowe: Uncertain if demand will be strong enough, if not will need further stimulus
- Australian dollar to a fresh session low (must resist temptation to type fresh session Lowe)
- RBA's Lowe: RBA is prepared to ease policy further if needed
- The date for RBA Gov Lowe to next appear in parliament is August 9
- This could get confusing. BoJo brings in JoJo to UK cabinet for the BoJoJoShow?
- Another preview of the FOMC next week, a cut … and another in September (maybe)
- PBOC sets USD/CNY reference rate for Thursday trade at 6.8737 (vs. yesterday at 6.8860)
- Former Fed Chair Greenspan says an insurance rate cut by the Fed makes sense
- Goldman Sachs on the upcoming FOMC meeting
- FOMC meeting next week - most expect a rate cut but there are still a couple of holdouts
- Japan - PPI Services for June: 0.7% y/y (expected 0.8%)
- South Korea's GDP for Q2 came in better than expected
- More on the North Korea launch - two ballistic missiles, no threat to us says Japan
- EU President Donald Tusk sent a letter of congratulations to new UK PM BJ … its hardly effusive
- Scotia on the US dollar - further signs the US admin does not want it strong
- Japan earthquake, M5.3 - off the east coast near Tokyo
- A New York judge rules President Trump must face lawsuit, but dismisses RICO charges
- Brexit - risk of no deal is overblown says UBS, like GBP
- South Korea is watching for further North Korean launches
- Reports that North Korea fires unidentified projectile
- Trade ideas thread - Thursday 5 July 2019
- Westpac now expect an RBNZ rate in August and another in November
- Some chatter about that the RBA will lower its inflation target (and why you should ignore it)
- S&P and Nasdaq close at record highs
Reserve Bank of Australia Governor Lowe kept the prospects of further rate cuts on the table in his speech today, and emphasised that low rates will be here for quite some time to come. More in the bullets above but that is the 'in a nutshell' summary of the speech and following Q&A session.
The Australian dollar had spent the lead-up to Lowe's speech just under 0.6980 and then edged ever so slightly above before dropping toward 0.6965 as the comments hit.
Elsewhere ranges remained tight. Yen and CHF saw a few points benefit early when news of North Korea firing test missiles came in. Two short-range ballistic missiles were fired off the country's east coast.
EUR and GBP are just a few tics weaker against the dollar on the session
Apart from Lowe's speech/Q&A news and dat flow was sparse indeed. That should change real soon though with the European Central Bank monetary policy announcement, followed by President Draghi's press conference coming up.
Still to come:
