Forex news for Asia trading on Tuesday 23 November 2021
- Fitch expects China's engineering and construction sector will keep growing in 2022, but at a slower pace
- US President Biden is speaking on Tuesday - on the economy and lowering prices for the American people
- Despite US pleas OPEC cannot pump much extra oil
- More on El Salvador's Bitcoin bond
- Goldman Sachs expect two Federal Reserve rate hikes in 2022, & equities higher
- Estimate the US government could fund itself through to mid-January in absence of debt ceiling agreement
- PBOC sets USD/ CNY central rate at 6.3929 (vs. estimate at 6.3860)
- RBA's Koehler says Bank monitoring asset price valuations
- Wall Street Journal: Samsung plans to build a $17 billion chip-making plant in Texas
- Bank of Canada speaker on the agenda for Tuesday 23 November 2021 - deputy governor Beaudry
- Los Angeles Rams NFL player Odell Beckham Jr. to take his new salary in bitcoin
- Federal Reserve FOMC Minutes are due Wednesday 24 November 2021 - preview
- Further rumours of a US SPR release - Tuesday the latest chatter
- No let-up on PBOC interest rate / RRR cut speculation
- Oil update - Biden's SPR release plans and the expected OPEC+ response
- Fed's Bostic says Powell's reappointment takes some uncertainty out of the Federal Reserve
- US Treas Sec Yellen says again that the US will have a recession if debt ceiling is not raised
- Australia weekly ANZ-Roy Morgan Consumer Confidence: 107.4 (vs. prior 106.00)
- BlackRock's Rieder & Goldman Sachs' Hatzius discuss US & global markets (video)
- White House - decision coming soon on 3 Fed vacancies - also more on oil options
- Australia flash PMIs for November: Manufacturing 58.5 (expected 60.7) Services 55.0 (expected 52.7)
- ICYMI - Greenland cancelled a Chinese mining company's licence to an iron ore deposit
- NZ data: Q3 retail sales -8.1% q/q (vs. expected -10.5%)
- ECB's Knot says he sees no indication that inflation will keep exceeding expectations
There was a bout of US dollar strength pretty much across the major FX board in the Asian morning but much of it has retraced. Not so for USD/JPY though, which moved above 115 for the first time in 4+ years and has steadied above the figure, albeit not by much.
Fresh news was pretty much absent, Asia digested the reappointment of Fed Chair Powell and noted the continued speculation surrounding oil reserve releases from the US and some Asian countries. Ukraine issues continued to bubble away also with reports that US President Biden is mulling sending military advisers and more weaponry to the country in the face of Russian troop build-ups at the border. US Treasury Secretary Yellen comments,
continued to impact also.
EUR, GBP, AUD, NZD, CAD all initially fell against the USD but, as noted, much of these moves have been retraced. With USD/JPY holding its gains its meant yen crosses have risen on the session.
Oil prices have been fairly steady. Iron ore traded limit up in Dalian today.
Japanese markets were closed for a holiday today.
