Forex news for Asia trading Thursday 27 June 2019
- A heads up, while the G20 finishes on Saturday OPEC meet on Monday (and Tuesday)
- South Korean official says big spending can help talks on ending North Korea's nuclear programme
- Moody's on Australian banks - overall asset quality remains strong
- HK press report the US and China have reached a tentative truce in the trade war
- BOJ's Wakatabe: Easy money will be maintained for as long as needed
- China industrial profits for May: +1.1% y/y (prior -3.7%)
- PBOC sets USD/ CNY mid-point today at 6.8778 (vs. yesterday at 6.8701)
- FX option expiries Thursday 27 June 2019 at the 10am NY cut
- New Zealand ANZ business survey for June, Business confidence -38.1 (prior -32.0)
- Trump and Xi to meet on Saturday June 29, 0230GMT
- Nomura says markets over optimistic on G20, recommends selling GBP
- Huawei staff said to have worked with China military on research projects
- UK Brexit secretary Barclay says Cabinet ministers are dragging their feet over plans
- Japan retail sales for May: 0.3% m/m (vs. expected 0.6%)
- BoA / ML expect a truce but no deal at the Xi - Trump G20 meeting
- RBC are looking for CAD to move higher
- ICYMI: Australia leads secret trade negotiations that will sideline US
- Reuters - FAA has identified a new risk on the Boeing 737 MAX
- Japan press reports PM Abe Shinzo has the option of calling a snap election
- G20 - US - China Deal seen as unlikely … but
- Brexit - Boris Johnson says “million to one” chance of leaving the European Union without a deal
- ICYMI from Trump: "Vietnam takes advantage of us even worse than China"
- This looks like it was the bitcoin sell signal
- Trade ideas thread - Thursday 27 June 2019
- Uh-oh ... bitcoin gets dumped
A bitcoin plummet kicked off the early Asia session, dropping from highs just shy of 14,000 USD to under 12,000 in a matter of moments.The Coinbase website went down which was cited as a reason for the huge rapid drop. The moves were not over, of course, BTC traded back above 13,250, under 12,500 and is currently circa 12,730 as I update.
And so over to forex.
USD/JPY was a good mover, it traded above 108 on the day here (its above there as I post). Data for the session was retail sales, and we also got a BOJ speaker. But what had a bigger impact on the yen were reports that the US and China have reached a tentative 'truce' in the trade war, even before the scheduled Xi-Trump meeting (29 June at 0230GMT) at the G20 summit (June 28 and 29 in Japan). We also had Japan's chief cabinet secretary Suga saying there is no discussion happening of a change to US-Japan security arrangements.
In addition to the yen move, AUD/USD managed to add on a few points, up towards 0.7000, but not seriously troubling the figure as yet. NZD/USD sat more or less sideways through the day. Business confidence data (for May) came out, another sad reading, with ANZ nailing it in their comment that the "outlook for the economy is murky". Yes, it is. If the data today is anything to go by the RBNZ's expected cut in August is a lock.
EUR/USD slipped down to around 1.1360, while cable popped a little but came back to be barely changed for the session. USD/CHF traded up (CHF and yen are reflecting much the same sentiment on US-China developments). USD/CAD is up a few points. Gold is little net changed on the session.
