Forex news for Asia trading Wednesday 10 January 2018
- Jeff Gundlach's full presentation on markets and the economy in 2018 (link)
- Heads up for AUD/USD traders - large option expiry coming up this week
- EUR/USD, EUR/GBP: EZ Outperformance To Keep Euro On Positive Track - CIBC
- M 7.8 quake in Caribbean - tsunami warning in effect for Puerto Rico and more
- HSBC on the BOJ JGB trim: "not really a signal of a pivot to the exit"
- Heads up preview for UK industrial production & trade data due today
- Oil news a little earlier: US rules out drilling rights off the Florida coast
- Japan press: North Korea refuses to budge on nuclear stance in talks with South
- Jawboning Bitcoin down - the world's top central bankers attack a new target
- China Dec. inflation data: CPI 1.8% y/y (expected 1.9%) and PPI 4.9% y/y (4.8%)
- Heads up for China inflation data due at the bottom of the hour - previews
- PBOC sets USD/ CNY mid-point today at 6.5207 (vs. yesterday at 6.4968)
- USD/JPY on the move again, close to its overnight lows now
- New bank aims to be the Goldman Sachs of Bitcoin and Crypto
- Moody's bullish on Australia and APAC as a whole
- Australian data - Job vacancies up 2.7% (prior +6.0%)
- Westpac on AUD/USD: Over Q12018 we look for a return to 0.75 area
- Westpac on the reasons NZD/USD should fall to 0.67 over the coming months
- BCC says UK economy set for "underwhelming" 2018 ahead of Brexit
- AUD and NZD trading a little lower as Asia gets more active
- Bitcoin - more on the PBOC moves to stamp out cryptocurrency mining
- Stan Chart on oil - demand growth to outpace non-OPEC supply growth
- Reuters report Toyota and Mazda to build $1.6 billion plant in Alabama
- UK press: German hostility risks derailing UK plans for bespoke Brexit trade deal
- More Gundlach: This is a horrible time to buy corporate bonds
- China press says the PBOC may resume open market operations shortly
- More Gundlach: The high for Bitcoin is in
- Gundlach: US stocks in 'accelerating phase' but predicts 2018 is negative on S&P
- FT: Brussels warns UK companies of shut-out in event of no-deal Brexit
- Trade ideas thread - Wednesday 10 January 2018
- More from Gundlach - he does not think a more hawkish ECB is priced in
- OIL - private inventory data shows bigger than expected draw in US crude inventory
- The most successful woman ever in tournament poker joins Dalio at Bridgewater
- Preview(s) of the China inflation due today
- Jeffrey Gundlach says global growth is in sync for the first time in many years
- Economic calendar due from Asia today - China inflation data
- US stock indices have record closes once again, but off highs
- Heads up for oil inventory data due at the bottom of the hour
- The World Bank has hiked its global growth forecast for the new year
- Will the GBPJPY sellers keep the lid on the pair against its 200 hour MA?
There were further gains for the yen during the session here today but little in the way of fresh impactful news nor data for it. Further follow through on the BOJ JGB buy 'trim' news yesterday was cited, further unwinding of the very large (some say extreme) short yen positions, USD/JPY stops triggering below the overnight low were all cited as factors for the yen gains here today.
Those traders countering the move (looking for the USD/JPY to trade back up) point to higher US Treasury yields, the Bank of Japan still undershooting its inflation target (by a long way) and thus remaining committed to yield curve control and other very accommodative policy, along with the risk positive backdrop.
But, a win for the yen bulls today (and as a heads-up ps - there are further USD/JPY sell stop orders below 112.00 ... and as a counter ... real money bids are ahead of there).
CHF and GBP are little changed expect against the yen, natch .... see above ;-) )
EUR/USD has managed a small gain through the session, above 1.1945 at one stage. No fresh news nor data. AUD/USD slid early but is back a tickle (technical term) to the better on the session. NZD/USD ... ditto.
US/CAD is a little lower, CAD taking some heart from a higher oil price (which got a kick along at the end of the US day from the data showing a very large draw in oil inventory for the week past).
Eyes were once again on China and the People's Bank of China. The Bank weakened (slashed) the CNY against the USD at its daily reference rate setting by the most since September last year. On money markets the PBOC conducted OMOs today after skipping operations for 12 days in row. The injection today of 120bn yuan was balanced by reverse repos coming due today of an offsetting 120bn yuan. Zero net injection/drain then.
