Forex news for Asia trading Thursday 28 2016

  • ANZ on the AUD. The positives. The negatives. The forecasts.
  • Australia's investment project pipeline "reversing declines over H2 of 2015"
  • Goldman Sachs hikes its short-term outlook for iron ore
  • Australia - Q2 Export Price Index +1.4% (expected +3%) & Import -1% (expected +1.5%)
  • PBOC sets USD/CNY mid-point today at 6.6597 (vs. yesterday at 6.6671)
  • Goldman Sachs on the BOJ announcement and what the yen will do after
  • Tokyo wakes up, buys yen
  • UBS on the yen after the BOJ: "Most of the move has already occurred"
  • Brexit fallout: "Shockwaves hit UK consumers, wages and construction"
  • BOJ decision due Friday (Japan time) - Barclays on what to expect
  • PIMCO says the Federal Reserve is 'silent' on September
  • Billionaire trader Steve Cohen's next big bet: $250 million on algo trading
  • Trade ideas thread for Thursday 28 July 2016
  • Here is how markets work when there is a drop in supply
  • What does the FOMC mean for the AUD? Supportive?
  • Japan - Abe's announcement & one more sleep until the BOJ!

Post-FOMC USD selling continued in Asia today, though in a much reduced way. Given the swings we have seen during the Asian time zone this week, today was very restrained indeed.

EUR, CHF, GBP all ticked a bit higher against the USD, but these were not were most of the movement was.

AUD and NZD had good moves in the early going, up 30-odd points each. They soon drifted back just a little and settled. The only data we got today was Australian terms of trade related, a slight improve (which nevertheless augurs well for a bit of a boost to Q2 Aussie GDP).

But it was USD/JPY most active again. It dropped 50 points as Tokyo got underway but under 104.75 was only brief before a consolidation and then a pop back above 105. As I update its turned lower again, back to session lows. there was little in the way of Japanese news flow.

It's the Bank of Japan announcement tomorrow - tune in for the fireworks!

Regional equities:

  • Nikkei -0.95%
  • Shanghai -0.62%
  • HK -0.31%
  • ASX +0.40%