Forex news and economic headlines 1 April 2016
News:
- There is no basis for continued depreciation of the yuan - Xinhua
- China's FX operator will trial FX swap offsets among firms
- Saudi's will join production freeze only if Iran joins too
- OPEC planning to reduce oil supply glut without production cuts and freezes
- BOJ's Sakurai says bank has achieved 60-70% of its inflation goal
- Canada's Morneau not considering further measures to tackle housing market risks
- The pound is slow out of the blocks on Non-farm payrolls releaseParis explosion due to gas leak - Police official
- The European problem today is insufficient demand says ECB's Jazbec
- Bank of Spain forecasts Q1 GDP at +0.7%
- Preview: Can the Non-Farm Payrolls give us a lead for the month ahead?
- Option expiries 10am NY cut today 1 April
- Nikkei 225 closes down -3.55% at 16,164.16
Data:
- March 2016 UK Markit CIPS manufacturing PMI 51.0 vs 51.2 exp
- Eurozone Markit manufacturing PMI March final 51.6 vs 51.4 expected
- Germany Markit/BME manufacturing PMI March final 50.7 vs 50.4 expected
- France Markit manufacturing PMI March final 49.6 vs 49.6 flash
- Italy Markit/ADACI March manufacturing PMI 53.5 vs 52.5 expected
- Italy February unemployment rate flash 11.7% vs 11.5% exp
- Switzerland manufacturing PMI March 53.2 vs 51.1 expected
- Switzerland retail sales February yy -0.2% vs -0.1% previously
- Spain Markit manufacturing PMI March 53.4 vs 54.0 expected
- UK Nationwide house price index March mm +0.8% vs +0.4% expected
- Japan vehicle sales March yy -3.2% vs -4.6% prev
- Australia commodity index March -15.4% vs -22.2% prev
All eyes on the NFPs but that hasn't helped the pound this morning as the euro demand continues.
Weaker than expected UK mftg PMI came on top of better final Eurozone PMI readings and that helped EURUSD through 1.1400 again and spring-boarding EURGBP to post 0.7991 just ahead of the strong supply at 0.8000.
That in turn has pushed cable through good support at 1.4320 and 1.4300 to post 1.4276 before running into fresh buyers on general USD sales.
Euro demand has also helped to a bid into EURJPY and under USDJPY which has on-going support at 112.00 while USDCHF has drifted off to 0.9582 but given some support from EURCHF demand still.
EURAUD buying has provided supply into AUDUSD and ditto EURNZD/NZDUSD. USDCAD has benefitted from the euro buyers and a fall in oil prices and risen through 1.3050. The fall in oil comes after Saudi Arabia poured cold water on the freeze talks producing anything of note.
It's a new month and it's now all eyes on NFPs coming up at 12.30GMT
