Forex news for Asia trading on Wednesday 29 September 2021
- ANZ say the Reserve Bank of New Zealand will hike rates next week, a high conviction view
- China's state planner asks for steps to be taken to ease coal (& power) shortage
- The upcoming RBNZ meeting is Wednesday next week - rate hike in question
- Japan's enormous government pension fund will not be investing in China's yuan-denominated sovereign bonds
- PBOC sets USD/ CNY mid-point today at 6.4662 (vs. estimate at 6.4653)
- New Zealand PM Ardern will make a decision on Auckland restrictions on Monday
- Analysts at two European banks highlight the same EUR/USD support level around 1.1660
- Coronavirus - New Zealand reports its highest daily new case count in nearly a month
- Reuters report on Evergrande offloading shares it held in a Chinese bank
- China Evergrande has a US$45.2m coupon payment due today, Wednesday 29 September 2021
- Fed's Bullard forecasts 5.8% US GDP growth this year
- EU official says the US has 'reached out' to China about reducing imports of Iranian oil
- Australian Council of Financial Regulators says the financial system remains strong
- UK data - BRC Shop Price Index -0.5% y/y for August (prior -0.8%)
- Biden scrambling to negotiate his legislative agenda - cancels planned trip
- China media on "Severe Coal Supply-Demand Imbalance"
- South Korea media report on North Korean leader Kim's absence
- Japan's ruling LDP will elect a new leader today - to become the new Prime Minister
- Trade ideas thread - Wednesday 29 September 2021
- Private oil survey data shows build in headline crude inventory
- ICYMI - Chinese authorities urging SEOs and state-backed property developers to buy Evergrande assets
- NASDAQ index has its worst day since March 18
Regional equities were slammed lower today following the worst day on Wall Street since May this year on Tuesday. Plenty of chatter about on rising rates, higher energy prices, shortages, the US debt ceiling, Evergrande and what have you. But Asian stock markets do tend to be (not always) dogs on a Wall Street leash.
Major forex tracked fairly small ranges. NZD/USD dipped on a rise in coronavirus cases reported for the day. The RBNZ meet next week and the jump in new cases to a near month-high prompted a little concern the Bank would delay a hike again. NZD/USD did not stay down though and as nerves steadied its retraced ome of tis slip. AUD/USD traded a similar pattern alongside. EUR/USD traded a few points higher on no fresh news of note.
USD/JPY popped above its overnight high but has not managed to sustain, dropping back 20 or so points. The party vote for new leader (and then a shoo-in as next PM) takes place later today Japan time (see bullets above).
Oil traded opposite day to Tuesday, its on its session low as I post. Gold gained a few dollars while BTC/USD dipped briefly under US$41K before rebounding.
An Evergrande coupon payment is due today, with a 30 day grace period (see bullets above).
