- Australian Treasurer Chalmers says China's COVID strategy poses risks to the Aus economy
- OPEC meetings begin Wednesday 01 June 2022 (JTC today)
- Russia conducting nuclear drills
- China Caixin / Markit Manufacturing PMI (May) 48.1 (expected 47)
- BOJ Deputy Governor Wakatabe: Bank of Japan must maintain powerful monetary easing
- Australia Q1 GDP 0.8% q/q (expected 0.7%)
- China admits it performed military exercises near Taiwan this week
- PBOC sets USD/ CNY reference rate for today at 6.6651 (vs. estimate at 6.6607)
- RBNZ Hawkesby says need to keep inflation expectations anchored
- Morgan Stanley reiterate its a bear market rally, maximum upside near 4250-4300 in S&P 500
- Japan Manufacturing PMI for May 53.3 (prelim was 53.2, prior 53.5)
- Russia foreign minister Lavrov met Saudi counterpart , both praised OPeC+ cooperation
- Japan Q1 Capex +0.3% q/q and +3.0% y/y (+2.1% expected, +4.3% prior)
- Bank of England is making preparations to bail out the crypto market
- UK firms expect barely any growth the next 3 months, gloomiest outlook since February 2021
- Fed's Bostic says there could be ‘significant reduction in inflation’ this year
- Australian manufacturing PMI for May (2nd one) 55.7 (prelim 55.3)
- Australian Manufacturing PMI for May 52.4 (prior 58.5)
- US Treasury Secretary Yellen says Biden's chief concern is inflation
- Signs of a recession in New Zealand are "clearly visible"
- Bank of Canada 50bp interest rate hike coming Wednesday, 1 June 2022 - preview
- Trade ideas thread -Wednesday, 1 June 2022
- RBNZ asks for feedback on if its inflation target "is about right".
- ICYMI - EU insurance ban will hit Russian oil exports harder than shipment sanctions
- US stocks end an up and down session with losses on the day
The highlight of the data calendar was the Caixin/Markit Manufacturing PMI for May. It came in showing contraction, the same as the official PMIs for the month that were published yesterday.
The other data release of note was the Q1 GDP result from Australia, which came in slower from the Q4 2021 result(which had a huge boost from COVID reopening) but slightly ahead of the median estimate.
Apart from those data items news flow was non-impactful.
On the central bank agenda was a speech from Bank of Japan Deputy Governor Wakatabe. He did not depart from the BOJ mantra of sustaining its easing program and back it up with saying the bout of cost-push inflation being experienced is best handled by fiscal and energy polices, not changers to monetary policy.
USD/JPY (chart below) moved higher during the session, piercing 129.00 again and then sitting just above. There was USD strength evident against EUR also. USD/CAD and NZD/USD are barely changed on the session, AUD/USD too. EUR
