Forex news for Asia trading on Monday 26 July 2021
- In Sydney, not one fully vaccinated person is in intensive care. Proves it works, or does it? (Calling all Bayesians)
- ICYMI - the report last week that suggests Amazon is preparing to accept crypto
- One of Australia's lockdown states to be released Tuesday night
- Australia coronavirus - Sydney troubles deepen with likely delay in Pfizer vaccinations
- China says relations with the US face difficulties and are at a stalemate
- Weekend - PBOC orders lenders in Shanghai to raise mortgage loan rates for first-time homebuyers
- US infrastructure talks continued over the weekend - still substantial disagreement
- Goldman Sachs says Sydney lockdown to persist until September
- PBOC sets USD/ CNY reference rate for today at 6.4763 (vs. Friday at 6.4650)
- Bitcoin on a rip, above US$39,000
- ANZ highlight positive signs for oil demand
- Japan Jibun July preliminary PMI Manufacturing 52.2 (prior 52.4) Services 46.4 (prior 48.0)
- A paper on Bank of England digital currency for the UK - nearly unanimous support
- Bitcoin popping above US$35,000
- Germany coronavirus - Merkel’s chief of staff flags restrictions for the unvaccinated
- US Fed's Federal Open Market Committee meeting - Goldman Sachs preview
- UK likely to remove restrictions on travel from France next week
- Higher NZD/USD forecast hinges on no major outbreak ahead.
- New Zealand June trade data, exports & imports both higher than previous
- UK looking to oust China from nuclear power projects
- Australia coronavirus - Sydney to announce an extended lockdown today (to mid-September)
- Goldman Sachs clearing, settling cryptocurrency ETPs for some clients in Europe
- US Infrastructure bill - Dem negotiator says the proposal may be ready Monday
- Trade ideas thread - Monday 26 July 2021
- France is set to pass 'vaccine passports' into law
- Fauci says some in the US may need booster shots of COVID-19 vaccine
- Monday morning open levels - indicative forex rates - 26 July 2021
- Vaccine booster shots increasingly likely. Iceland highlights reopening risks
BTC/USD moved a little higher over the weekend but really rocketed during the Asian morning. Its been on a steady recovery path since last week's media event with Wood, Musk and Dorsey but really surged here today. The narrative that was applied (narratives are often back-fitted to price moves) was related to the Amazon job ad for a digital currency and blockchain expert, which led to speculation the firm would gear up to accept crypto (currently it does not). The Amazon ad was reported on late last week.
Across FX there were a few minor moves. Yen has appreciated, with USD/JPY down from early highs around 110.55 to lows just under 110.35. CAD has lost ground, USD/CAD has scaled slowly back to just above 1.2580. AUD, too, lost ground against the USD, but only a few points while EUR /USD is a touch higher than its late Friday level.
News flow was light, as was data flow:
- NZ trade balance for June showed increasing exports and imports
- Flash PMIs from Japan (for July) were a little sad as the economy takes continued hits from coronavirus impacts
Market focus is shifting towards the Olympics, plenty of financial market players are tuning in to live coverage at the expense of markets! Who remembers when waiting for daily counts did not mean how many people are infected? Here's what it used to be about:
