Forex news for Asia trading Thursday 30 June 2016
- China fin min: China struggling to meet fiscal target
- Abe, Cameron, Merkel to talk on Thursday
- Japan official - Doing everything possible to ensure global economic & FX stability
- Fitch on China - overcapacity, indebtedness, over-leverage
- Moody's on Singapore - rising risks to Sing banks' asset quality, profitability
- ANZ looking for an RBNZ rate cut
- Goldman Sachs on China yuan - fears in the market over a sharp devaluation
- Australia May Job vacancies: -1.9% (prior +2.7%) & Private Credit: +0.4% m/m (exp.+0.5%)
- PBOC sets USD/CNY mid-point today at 6.6312 (vs. yesterday at 6.6324)
- NZ data - ANZ Business Confidence for June: 20.2 (prior 11.3)
- Goldman Sachs sees risks to the downside for the oil price
- Japan data: Industrial Production (May, preliminary): -2.3% m/m (expected -0.2%)
- UK to renegotiate more than 50 trade deals. NZ PM Key helps out: "I got this"
- UK data - GfK Consumer Confidence for June: -1 (expected -2)
- NZ Building Permits for May: -0.9% m/m (prior +6.6%)
- IMF to lower growth forecast for Germany - citing Brexit
- China Beige Book shows rebound in Q2
- China’s analysts haven’t been this wrong on equities since 2009
- Here are the front runners to the UK Conservatives
- Head of the Russian central bank - comments on gold
- Trade ideas thread - Thursday 30 June 2016
FX rates traded in subdued fashion again today.
USD/JPY popped to 103 in the very early going but did not sustain its strength. Japanese exporters said to be big USD/JPY sellers around that level. As Tokyo markets became more active USD/JPY gave back 40-odd points, down to just under 102.65. There was little in the way Japan today, though we did get preliminary Industrial Production data for May, coming in at very bad miss indeed; April earthquakes, yen strength and global economy weakness (and thus a weight on Japanese export performance) all cited.
Elsewhere, GBP drifted lower, down 60 or so points from session highs as I update. Notable losses for AUD (down 30+ points from early highs), NZD (down around 30 pts also) and EUR/USD (down 25+). USD/CHF was pretty much sideways again during this Asian session.
The USD/CNY setting today was little changed. Fitch was out today with a report on China's stell industry: estimates the total debt for the industry at RMB 3-4 trln. The industry is needing short-term financing but there is a growing refinancing risk.
Gold is a few dollars weaker and oil is not much changed.
Regional equities:
- Nikkei +0.83%
- Shanghai -0.24%
- HK +1.76%
- ASX +1.73%
Still to come:
- Bank of England Governor Carney to speak today at 1500GMT
More on China:
