Forex news for Asia trading for Tuesday 22 December 2020
- One ECB speaker on the agenda in Europe time
- Brexit ICYMI - The UK made an offer on fisheries but the EU says "It's still a no from us"
- The US Senate will be next to vote on the coronavirus relief bill (there is just one 'but' to be aware of)
- Toyota will halt production in the UK and France from Tuesday due to transport delays
- Canada has rejected Shandong's bid for TMAC gold mining
- PBOC sets USD/ CNY reference rate for today at 6.5387 (vs. yesterday at 6.5507)
- FX option expiries for Tuesday December 22 at the 10am NY cut
- US SEC plans to take legal action against Ripple over its sale of XRP
- A senior US senator says the Russia hack of US Treasury is worse than initially thought
- The US has further restricted visas for China
- Australia November preliminary retail sales +7.0% m/m (vs +2% expected)
- South Korea is making progress flattening their virus wave, but will close tourist spots
- JP Morgan says to be long yen against USD and the euro
- Deutsche Bank argues that COVID-19 vaccine is USD positive
- Australia weekly consumer confidence drops 2% w/w
- Here's a bank saying Bitcoin could reach $650,000 .... or it could fall (yes, really)
- Uk coronavirus - UK is considering keeping schools closed all of January
- Trade ideas thread - Tuesday 22 December 2020
- More on Goldman Sachs' lower US dollar forecasts for 2021
- Broad indices close lower but well off the worst levels of the day
FX markets traded in a more subdued fashion today compared with Monday, with GBP drifting a little lower on the session here but not making too many waves. Brexit-related news was light as was virus-related news out of the UK. Cable dipped to just under 1.3405 and its not much higher than there as I post.
NZD/USD has seen a drop on the session also, in the absence of any specific news. EUR, AUD, yen, CHF and CAD have also lost some ground against the USD during the session also.
The only data of note were retail sales from Australia (November, preliminary) which showed a strong surge to easily beat estimates.
In the US, the coronavirus economic relief bill was approved in the House of Representatives and is now, as I update, awaiting a vote in the Senate.
On the crypto front news crossed that the US Securities and Exchange Commission is to file a suit alleging Ripple violated investor-protection laws when it sold XRP. XRP is a big part of the crypto space and its price sold off somewhat on this news today:
