Forex news for Asia trading for Tuesday 1 December 2020
- RBA announces no change to monetary policy, as expected
- Japan capex, profits, sales all fell in Q3 - recap
- US National Security Council says White House to serve Australian wines, China is missing out
- Australia house prices in November higher in cities and regional areas
- PBOC Governor says should be a separation between government finances, central bank
- China state-owned group in default owes $US5.1bn
- China - Caixin/Markit Manufacturing PMI for November: 54.9 (expected 53.5)
- FX option expiries for Tuesday December 1 at the 10am NY cut
- Irish PM says there are options available to complete a Brexit trade deal
- PBOC sets USD/ CNY reference rate for today at 6.5921 (vs. yesterday at 6.5782)
- Western Australia to reopen its border to Victoria and NSW on Tuesday 8 December
- Australia Net exports as a % of GDP: -1.9% (vs. expected -1.7%)
- Japan - Jibun Bank/Markit Manufacturing PMI (final) for November 49.0
- Australia Building Approvals for October 3.8% m/m (expected -3.0%)
- South Korea November exports per working day are +6.3% y/y
- Japan Q3 Capital spending -10.6% y/y (expected -12.1%)
- Fed's Kaplan sees a very difficult 3 to 6 month ahead, optimistic about the next 12
- Japan data - Unemployment rate in October 3.1% (vs. expected 3.1%)
- Mag 6.3 earthquake Chile-Argentina border area
- Saudi Arabia and the UAE move closer with plan to launch a digital currency
- Leaked documents provide insight into Chinas cover-up of the early days of the Wuhan coronavirus outbreak
- Australia - ANZ-Roy Morgan Consumer Confidence 107.5 (prior 104.5)
- Tesla will be added to the S&P500 at full float-adjusted market cap weight
- Oil - OPEC+ has delayed its meeting to decide on output cuts until Thursday
- Australia's 2nd manufacturing PMI for November: Markit PMI 55.8 (prior 54.2)
- US stocks: Citi highlight 2 near term risks for a market unconcerned about the downside
- Trade ideas thread - Tuesday 1 December 2020
- Mnuchin "urges" Congress to repurpose $US455bn in unused CARES funds
- Fed Chair Powell says recent vaccine news is very positive for the medium term
- Australia November manufacturing PMI 52.1 (prior 56.3)
- Dow had its best month since 1987 but closed lower today. Record highs and record closes for the major indices in November
- Canada sees deficit at 17.5% of GDP this year in fiscal update
EUR/USD had a steady rise during Asian morning trade from lows circa 1.1927 to 1.1960. Euro was not the only currency to gain against the big dollar, though, AUD, NZD, GBP, CAD, and even CHF are all stronger for the session so far here. Yen is a loser though, USD/JPY up a few tics on the session (leading to good performances for yen crosses).
I highlighted a few potential catalysts, in summary:
Mnuchin "urges" Congress to repurpose $US455bn in unused CARES funds
Fed Chair Powell says recent vaccine news is very positive for the medium term
US equity index futures were also stronger, emini S&Ps are up around 1% (as I post), and NQ is trading higher on Globex also.
There was plenty of data today, notably with PMIs improving in Australia, Japan, and China. South Korean export data was encouraging also.
For the crypto folks, Bitcoin has steadied above $US19,500 during the session. (as I post its making a liar out me, back under 19.5K).
This is in the bullets above, but ICYMI: