- Bank of England head economist Pill is speaking Thursday, 2 March 2023
- Ex-BOJ gov Shirakawa urges re-examination of monetary framework, inflation targets
- RBNZ Governor Orr speaking during the US afternoon on Thursday (Friday morning NZ time)
- China's human resources minister says job numbers will continue to rise this year
- Only one of Deutsche Bank's 3 reasons to be bullish euro is performing well
- BOJ's Takata says must maintain current massive monetary policy easing
- China mainland stocks opening lower - paging the National Team
- PBOC sets USD/ CNY mid-point today at 6.8808 (vs. estimate at 6.8809 )
- Barclays are looking for near term USD strength before lower towards the end of the year
- Australian January building approvals are ugly, ugly, ugly: Down 27.6% m/m (expected -8%)
- Japan data, Q4 Capex +7.7% y/y (prior +9.8%)
- Crypto-friendly bank Silvergate delayed financial reporting, is analyzing "investigations"
- Goldman Sachs raise its estimate for ECB interest rate hikes for the 2nd time in 2 weeks
- MUFG on why GBP should fall (spoiler - hard to see 3 Bank of England rate hikes ahead)
- Goldman Sachs see bearish USD/JPY factors but remain unconvinced it'll drop significantly
- Forexlive Americas FX news wrap 1 Mar; The US 10 year yield reaches 4.00%.
- New Zealand Q4 Terms of Trade data +1.8% q/q. Export and import prices both down q/q
- Trade ideas thread - Thursday, 2 March 2023
- Note for the diary - Fed Chair Powell will testify in Congress on March 8
- NASDAQ and S&P close lower for the second consecutive day
There were some swings in major FX, albeit in limited ranges. Net for the session the US dollar gained a little. US equity index futures lost some ground on Globex after having dropped for a second day during US time on Wednesday. As tensions surrounding still-high inflation in the US rise, Goldman Sachs added in another FOMC rate hike to its outlook (see bullets above) and Nomura and Natwest have beefed up their forecasts also. Analysts at those two banks are now projecting a +50bp rate hike from the Fed at the meeting on the 21st and 22nd this month.
There was some eye-popping data from Australia today. Monthly building approvals can be a volatile data series, with substantial swings as multi-unti approvals come and go. Today was a stand out though. January approvals dropped 27-odd per cent on the month. The previous month was +18%, so, yeah, the data is choppy. Still, today’s result was the worst for 10 years and the fifth consecutive monthly decline. The trend is firmly lower for this data series, Reserve Bank of Australia rate hikes and pressured house prices weighing.
Asian equity markets:
Japan’s Nikkei 225 -0.1%
China’s Shanghai Composite +0.18%
Hong Kong’s Hang Seng -0.5%
South Korea’s KOSPI +0.9%
Australia’s S&P/ASX 200 basically flat
USD/JPY inched higher
