Forex and Bitcoin news for Asia trading Wednesday 15 August 2018
- More from China's NDRC as the onshore yuan slides even lower
- China NDRC - Will ensure achievement of annual economic growth target despite trade war
- PBOC adds liquidity via 1 year MLF facility
- Asia currency intervention watch - HKMA intervenes
- Some AUD orders / levels to eye
- China house price data (July) - fastest new home price rise y/y since Sep 2017
- Japan finance minister Aso: Japan, US trade talks moving in positive direction
- AUD - Australia Q2 Wage Price Index 0.6% q/q (expected +0.6%)
- PBOC sets USD/ CNY reference rate for today at 6.8856 (vs. yesterday at 6.8695)
- Bank of Japan Japanese Government Bond buying operation - unchanged amounts
- Bloomberg on two notable buyers of oil (stocks)
- AUD - Australia Westpac Consumer Confidence for August: -2.3% m/m ( prior +3.9%)
- Trade ideas thread - Wednesday 15 August 2018
- Oil inventory data - surprise build in US crude stocks
A continuation session for the USD with rises pretty much across the board.
USD/JPY moved aove 111.40 during the Tokyo morning, with USD/CHF lagging a little behind but nevertheless to above 0.9960. USD/yen has since dribbled back a little to under 111.25 as I post while USD/CHF has not not given much back at all.
USD/CAD was an early loser, CAD bucking the wider moves somewhat but has since retraced its session gain.
We had data today from Australia, consumer sentiment and wage growth. The wages data was the focus and it was not great news, confirming slow growth (none/barely any in real terms). Add this to persistent underemployment and the recipe is in place for the RBA to remain on hold for much, much longer.
The AUD was one of the losers today, toward 0.72 for AUD/USD and to its lowest since very early January of 2017. NZD/USD, too, a loser, to circa 0.6550 on the session.
China house price data (July) came out, best rise for 10 months. Also from China, the PBOC devalued the onshore yuan yet again today, after the mid rate setting at its lowest since mid May of 2017 the market took CNY lower still, USD/CNY above 6.9 at one stage. If you've been following along you'll know I've been banging on about a weaker yuan for quite some time (not just against the USD but more widely against the currencies in its basket). The declines are not over, ladies and gentlemen, but be aware the PBOC will not want it sliding too fast so expect some 'intervention' hiccups.
Speaking of intervention, we had Bank of Indonesia in today and also the HKMA overnight (NY time), each supporting the local currency. .
Regional stock markets copped another beating down today. Gold bugs had another sad day too.
Still to come:
