- RBA Gov Lowe says risk if sticky inflation materialises would need tighter policy
- China August trade data, Exports -8.8% y/y (expected -9.2%) & Imports -7.3% (exp -9.0%)
- Bank of Canada Governor Macklem is speaking today, Thursday, 7 September
- Some more Chinese banks are once again lowering mortgage rates today
- There is a barrage of 6 Federal Reserve speakers due today, Thursday, 7 September
- Texas paid bitcoin miner Riot US$31.7 million to shut down during heat wave in August
- BOJ's Nakagawa says its appropriate to maintain easy monetary policy for the time being
- Australian data: July Exports -2% m/m (prior -2%) & Imports +3% m/m (prior -4%)
- PBOC sets USD/ CNY mid-point today at 7.1986 (vs. estimate at 7.3121)
- USD/JPY hits a 10-month high above 147.85
- Magnitude 6.2 Earthquake just off the coast near Coquimbo, Chile
- ICYMI - Japanese government set to announce a fresh economic stimulus package in October
- Here's why the beat on ISM Services PMI on Wednesday had such an outsized impact on mkts
- Goldman Sachs on the FOMC hurdle if they pause in November too. Rate cuts from Q2 2024
- The US Senate has voted to give Lisa Cook a 14 year term at the Fed
- Goldman Sachs on the US equities' current "good news is bad news narrative"
- Deutsche Bank's assessment is that "A US recession remains more likely than not."
- Bank of Canada left 5% overnight rate unchanged, RBC expect it'll stay there through 2023
- UBS forecasts the S&P 500 to as high as 4700
- US to cancel Alaska oil, gas leases issued in a federal wildlife refuge under Trump
- Private oil survey data shows larger than expected draw for the headline crude number
- Trade ideas thread - Thursday, 7 September 2023
- Forexlive Americas FX news wrap: US services sector continues to shine
USD/JPY traded above 147.85 to a 10-month high today before dipping back under 147.60. While we had verbal intervention out of Japan’s Ministry of Finance on Wednesday, so far today there has been nothing.
Also from Japan was a speech from Bank of Japan monetary policy board member Nakagawa. She showed no indication in her remarks of a desire to dial back easy policy.
Data from Australia today showed exports dipped in July from June while imports rose. The trade surplus came in lower than expected.
Data from China portrayed another poor trade performance in August. The external sector is not coming to China’s economic rescue so far. In USD terms both exports and imports for the month slumped again (see bullets above) and are down YTD also. If there is a bright spot in the August data its that exports and imports did not fall by as much expected.
Earlier in the session we had the PBOC USD/CNY reference rate setting for the trading session. The Bank set the mid-rate another 1100+ points lower than the modelled estimate (ie stronger for the onshore yuan). The PBOC continues to stand in the way of rapid yuan weakening. Offshore yuan didn't do a lot today, trading in a small band, for it.
Major FX traded in narrow ranges today, the USD largely held gains.
Regional stocks traded lower following a weak lead from Wall Street.
