Forex news for Asia trading Monday 9 December 2019
- Moody's 2020 outlook for APAC banks is negative, says trade war a key risk
- The evolution of monetary policy in China - the main takeaways
- UK election poll chart looks like technical analysis (Johnson to win?)
- WSJ report on deal nearing for a modified US, Canada, Mexico trade agreement
- From earlier ICYMI - China orders removal of foreign computer equipment, software
- Governor of China's Xinjiang says US bill a gross interference in China's internal affairs
- Volcano erupts off the coast of New Zealand - White Island
- ANZ raise their forecasts for the New Zealand dollar
- Two New Zealand banks bump their NZ Q3 GDP forecasts higher
- PBOC sets USD/ CNY reference rate for today at 7.0405
- A little more on that jump in Q3 GDP for Japan
- Goldman Sachs raises its oil price forecast: Brent to 63 (from 60 previously)
- UK election poll published shows PM Johnson's lead extending
- Japan BoP Current Account Balance for Oct. Y 1816.8bn (vs. expected Y 1806.8bn)
- Japan GDP, final for Q3: 0.4% q/q
- South Korea's vice fin min says watching markets for impact of North Korea issues
- Its a big week coming up (FOMC, UK election & more) - Asian events to take note of also
- Trade ideas thread - Monday 9 December 2019
- Goldman Sachs on EUR/USD; forecast it a little lower, next big move is likely to be higher
- NAFTA - Mexican Foreign Minister says will not accept US labor inspections in USMCA
- NZ manufacturing volumes fall in Q3
- China has ordered government offices, public institutions to remove foreign computer equipment & software
- Good morning Monday! Early FX price guide 9 December 2019
- Chinese imports rise for the first time since April
- What implied volatility says about this week's event risk
Major FX ranges remained subdued during the week-opening session here in Asia today. We had plenty of data out, most notably Chinese trade data over the weekend and Japanese GDP (Q3, final) on Monday. The Japanese data was much improved over the preliminary but raised concerns there may be some stealing of growth from Q4. Regardless of whichever take you prefer yen is barely changed on the session.
In the news the most notable was China instructing government offices and institutions to remove foreign computer hardware and software (see bullets above for the details). The immediate take on this is its retaliation for the Huawei bans (and perhaps the HK bills in the US legislature) and that its not a positive for relations between the US and China. As I said above, FX ranges have been limited, but AUD and NZD are on their lows in their small range.
Further to US-China relations the Governor of Xinjiang province made strong statements disapproving of US meddling in China's internal affairs (again, see bullets above).
GBP fared a bit better today, up a few points with polls pointing to PM Johnson's lead extending.
Still to come:
