Forex news for Asia trading on Thursday 3 June 2021
- US announced new delayed tariffs against six countries re tech companies tax
- US data ahead - jobs due Friday, CPI next week ... and meanwhile the "Fed waiting in the wings"
- China Caixin/Markit PMIs Services 55.1 and Composite 53.8 for May
- Norway's Finance Minister supportive comments on cryptocurrency earlier this week
- Australia Retail Sales for April, final, +1.1% m/m
- Australia trade balance for April shows a surplus of AUD 8028m (expected surplus A$8250m)
- PBOC sets USD/ CNY reference rate for today at 6.3811 (vs. yesterday at 6.3773)
- EU official says he expects an Iran deal at next week's talks recommencement (but there is a but)
- New Zealand - ANZ Commodity Price index for May: +1.3% m/m (prior +2.3%)
- Jibun Bank/Markit Services 46.5 and Composite 48.8 PMIs (final) for May
- ECB President Lagarde spoke Wednesday - main points ICYMI
- RBNZ Dep Gov Bascand spoke Wednesday, highlighted supply-driven price pressures
- Australia - Markit Services and Composite PMI for May (final)
- Media reports Apple is requesting staff return to the office 3 days a week from September
- Japan media says PM Suga likely to call a snap election in (northern) autumn (fall)
- Australian Construction PMI (May) 58.3 (prior 59.1)
- US senator says encouraged after talks with US President Biden on infrastructure
- NZ govmt.10-month financial statements released, deficit 3.6bn under forecast
- Australian Treasurer Frydenberg to speak in minutes - under pressure for more stimmy
- UK Chancellor Sunak says US global tax plan could work
- ICYMI - Analysts (nearly) unanimous in expecting the BOC to taper (again) soon, but not next week
- More on the Fed winding down its corp. bonds, ETF program ... a tip-toe towards taper
- Trade ideas thread - Thursday 3 June 2021
- Private oil survey data shows large headline draw in crude oil inventory
- Federal Reserve says it plans to wind down its coronavirus pandemic Corporate Credit Facility
- US President Biden likely to further tighten rules on US investment in Chinese military-linked componaies
Major FX has moved very little during the session here so far in Asia. News flow has been light and, obviously, of negligible impact. Data flow, on the other hand, has been plentiful (see bullets above) but also, and again obviously, non impactful. "Awaiting the nonfarm payroll data from the US" has been today's excuse and with Friday still to come in the timezone will likely be tomorrow's as well.
In summary the US dollar has inched a little higher during the session, with gains against AUD, NZD, yen, EUR. All tiny though.
Oil stretched its gains even higher, an increase in expected demand is cited as economies improve (a key benefit, alongside health, of vaccination rate increases) while supply discipline from OPEC+ remains in place, for now. The private survey of oil stocks shopwed a much larger than expected draw in headline inventory.
Gold and Bitcoin have given back a little.
The People's Bank of China weakened the onshore yuan a little at the reference rate setting again today.
Still to come from Australia today is some sort of expected further fiscal support for COVID-19-locked down Melbourne. We'll see.
