- NZ July retail sales -0.5% in July.
- NZ August housing price index rises 1.2%.
- US imposes import duties on Chinese tyres.
- Asian Bourses lower on the back of China/US trade tensions .
- Australian commercial finance falls 1% in July, personal finance commitments falls 0.8%
- Shanghai Copper limit down 5%.
- Gold trading at 1003
- US Investment banks seen selling EUR and AUD.
- Oil 1.25% lower from NY settlement at $68.45.
It was a bearish start to the week today, with Oil trading lower, Shanghai copper limit down and Asian bourses, particularly the Nikkei taking a beating, down as much as 2.6% at one stage. There was some concern over escalating China/US trade tensions, where the US imposed import duties on Chinese tyres and China responded with a probe into US car products and chicken meat imports. USDJPY sellers were out in force determined to test the 90.00 level. A sell off in USDJPY down to 90.20 was seen taking Yen crosses with it. However, semi-governmental Japanese bids were too large to fill and a bounce back towards the NY close was seen as traders took profit on shorts. USDJPY stayed under pressure all day but the Yen crosses did recoup some early losses.
EUR was sold off by US Investment banks but EURJPY buyers ahead of 131.00 held strong, helping EURUSD bounce late in the afternoon off its 1.4520 base.
AUDUSD was drilled lower via US Inv banks selling AUDJPY, down thru 77.90 and 77.50. The AUDUSD traded back under 86c triggering stops in the process but found bids at the 8550 zone, to see a small bounce back up to 8580 in the afternoon.
Ranges:
EURUSD 1.4519 – 14600
GBPUSD 1.6595 – 1.6685
USDJPY 90.18 – 90.65
EURJPY 131.28 – 132.02
AUDUSD 8546 – 8631
Goodluck,
Sam