Forex trading headlines for Asia Monday 22 September 2014
Weekend:
- A tip of the cap to one of the great FX strategists anywhere
- New Zealand’s Key secures third term in office
- G20 sees global economic growth but cites the Eurozone as a major concern
- G20 Communique following the September 20-21 2014 meetings in Cairns, Australia
Monday
- Finance Minister Lou Jiwei – China will not dramatically alter its economic policy
- French prime minister and German Chancellor to meet on Monday
- ECB’s Cœuré says it is “way too early to tell” if more ECB stimulus required
- Deutsche Bank foreign exchange trader reportedly sacked over inflated trades
- German finance minister Wolfgang Schaeuble – ESM not there to finance investment
- German Finance Ministry monthly report – tax revenue rising, moderate GDP growth expected
- New Zealand – Q3 Westpac Consumer Confidence: 116.7 (vs. 121.2 prior)
- Bundesbank President Jens Weidmann: “No fiscal stimulus is needed from the German perspective”
- Bank of Canada Governor Stephen Poloz comments over the weekend
- Weekend Financial Times: “Japan signals second tax hike will go ahead”
- ECB President Draghi testifies to European Parliament’s economic and monetary committee on Monday
- China press report on “full-scale housing collapse in third-tier city”
- Chinese state media reports explosions in China’s Xinjiang
- Former Bank of Japan (BOJ) deputy governor Iwata: Weak yen puts Japan at recession risk
The NZD/USD opened stronger in Asia this morning after the weekend election returned PM Key to office (see bullets, above). After a few hours of sideways it gained 30-off points to test towards Friday’s high around 0.8170 and has stabilised below there as i write. The election result removes one item of doubt for the kiwi, now its back to dairy prices, the RBNZ rate hike schedule and the Federal Reserve rate hike schedule as major items.
The AUD gained a little on the session too, up around 30 points from early lows and stable below the session high as I write. China concerns continue to wieht on it at the start of a new week, with plenty of China news about (again, see bullets, above).
Apart from the AUD and NZD the USD lost ground against the EUR, GBP, CAD and yen also today, all with reasonable ranges (for this timezone). Gold got sold in the Asian morning, losing around $10 but has recovered around 50% of the drop as of writing.
Oil was down around 50cents from late US levels on Friday.
