Forex news for Asia trading for Friday 5 February 2021
- Robinhood says it no longer has any restrictions on buying GameStop, AMC
- PBOC sets USD/ CNY reference rate for today at 6.4710
- FX option expiries for Friday February 05 at the 10am NY cut
- RBA SoMP repeats the Bank does not expect to hit its inflation & jobs goals until 2024 at the earliest
- Australia Retail Sales for December, final: -4.1% m/m (prior +7.1%)
- UK press says the government is planning 'Vaccine passports' for tourists
- Goldman Sachs interview with hedge fund legend Stanley Druckenmiller
- Fed's George says US economic progress is encouraging, will pick up further
- Japan Household spending for December -0.6% y/y (expected -1.8%)
- RBA Gov. Lowe says the Bank has not ruled out even further QE bond purchases
- RBA Gov. Lowe Q&A now: The AUD has not appreciated as much as usual due to RBA policy
- US Treasury says the core market infrastructure resilient amid GameStop frenzy
- Judy Shelton's nomination to the Federal Reserve has been withdrawn by Biden
- Coronavirus - Johnson & Johnson submit vaccine authorisation application to FDA
- RBA Gov Lowe says Australia is in a much better p[lace than most other countries
- RBA Governor Lowe speaks at the bottom of the hour - live link
- WSJ - Biden Administration Weighs Forgiving Student Debt by Executive Action
- Fitch Ratings weighs in on GameStop and silver!
- Trade ideas thread - Friday 5 February 2021
- Australia - AiG Services PMI for January: 54.3 (prior 52.9)
- GameStop closed under $55, its lowest for two weeks
- Record closes for the S&P and NASDAQ index
The USD gained ground against Asian currencies and added small gains against major FX here also. The moves have been idiosyncratic with AUD not down too much at all.
From the Reserve Bank of Australia today we had the quarterly Statement on Monetary Policy (SoMP) and also testimony from Governor Lowe to a parliamentary committee. Lowe kept to his script from earlier in the week, adding that 'more QE' is not ruled out if needed (this after the program was announced as being extended after Tuesday's meeting). Probably the most notable thing from the SoMP were the forecasts for the economy, quite rosy (although Lowe reiterated that the Bank will not be hitting its inflation and jobs goals until 2024 at the earliest).
Gold and silver tracked mainly sideways. Regional equity markets took their cue from the better tone in the US on Thursday and moved higher.
