Forex and Bitcoin news for Asia trading Friday 13 July 2018
- China's USD denominated June trade surplus with the US was the highest ever recorded
- China trade balance for June (USD terms): USD41.6bn (expected $27.7bn)
- Comments on trade from China - downward risks due to unilateralism
- PBOC to inject 188.5bn yuan via 1 year MLF
- PBOC sets USD/ CNY reference rate for today at 6.6727 (vs. yesterday at 6.6726)
- US Comm Sec Ross says he will sell all his equity holdings and buy US Treasuries
- Singapore GDP Q2 3.8% y/y (vs. exp. 4.1%)
- Apple, suppliers announce $0.3bn investment in China
- Trump Brexit comments getting some play in early Asia - GBP off a few tics
- New Zealand BusinessNZ manufacturing PMI for June 52.8 (prior 54.5)
- Steven Cohen Invests in Crypto Hedge Fund
- UK PM May is currently at dinner with Trump. Worst. Date. Ever.
- Want to learn more on finance, IT/computer science, data analytics? Check this out - free!
- UK press reiterating Trump wants a hard Brexit
- Trade ideas thread - Friday 13 July 2018
Friday the thirteenth can often be a bit subdued here during the Asian time zone but today we got some market-moving input beginning early in the session.
US President Trump gave an interview to the UK 'Sun' newspaper, in which (amongst other comments) he said Boris Johnson would make a good Prime Minister and that unless the UK executed a 'hard' Brexit the US and UK would not reach a trade agreement. GBP began an ever so gentle drip a little lower but that picked up a gear as the morning in Asia unfolded.
The net move down for cable was not large, but it was the biggest mover here for the session.
GBP/USD dropped 40-odd points, reaching down toward 1.3170 before stabilising and then tracking around 1.3180 for the balance of the session as i update.
USD/JPY, too, saw some activity. It rose in the Tokyo morning to above 112.75 at one stage, continuing on its overnight tick higher.
There was a peculiar headline that crossed on a (personal investment) portfolio reshuffle by US Commerce Sec Wilbur Ross. He is to sell out his equity interest and put the funds in Treasuries. He says its correct errors in divesting his assets upon taking the government job he has. I won't say it caused a top in USD/JPY, but there was a correlation. USD/JPY has since drifted 112.60/70 more or less, so not much in it.
AUD/USD is net up a few ticks on the day, as is kiwi. EUR, CHF not too much change.
On the data agenda the main point of interest today were the June trade figures out of China. They were notable for a larger than expected trade surplus in the month (imports came in much weaker than expected so that was a contributor). Perhaps of more significance going forward is the Reuters calculated China's trade surplus with the US was its
Biggest
In a month
Ever.
You reckon Trump is going to back down on his trade war with China? I don't think so.
(Reuters calculations were going back to 2008).
Still to come:
And, more data from China due on or before the 15th
New yuan loans, expected is 1535.0bn, prior was 1150.0bn
Aggregate financing RMB, expected is 1400.0bn, prior was 760.8bn
Money supply M0 y/y: expected is 3.5%, prior was 3.6%
Money supply M1 /y: expected is 5.9%, prior was 6.0%
Money supply M2 y/y: expected is 8.4%, prior was 8.3%
