Forex news for Asia trading on Thursday 8 July 2021
- RBA Governor Lowe repeats the Bank expects it'll be 2024 before inflation is in the target range
- Goldman Sachs on the probability of a Fed FOMC rate hike before 2024 (not high)
- Newswire reports "Australia's New South Wales reports biggest daily rise in COVID-19 cases for 2021"
- Recap of the UK house price data - "prices rise by most since 1988
- PBOC sets USD/ CNY mid-point today at 6.4705 (vs. yesterday at 6.4762)
- Australia energy price increase (LNG on the east cost highest $$$ since 2016)
- More on China's Cabinet talking about RRR cuts - Chinese bond yields sliding
- South Korea reports 1,275 new cases of coronavirus, a daily record high
- Japan economy minister Nishimura seeking a renewed Tokyo state of emergency
- FTSE/Russell says it will delete around 20 Chinese stocks from its indexes
- Bank lending in Japan for June rose, but at a slower pace than in May and April
- PBOC yuan intervention, US$23bn amount
- More on potential China RRR cut - in September says the Securites Journal
- China's State Council promises increased support for the real economy, potential RRR cuts
- Goldman Sachs on the Fed FOMC minutes - looking for a December taper, maybe even November
- Coming up ahead today, Thursday 8 July 2021, the ECB is set to increase its inflation target to 2%
- ICYMI - Reuters on US state Wyoming welcoming crypto firms
- The massive explosion in Dubai was a natural accident says an official
- Trade ideas thread - Thursday 8 July 2021
- Private oil survey data shows a large headline draw in crude oil inventory
The US dollar strengthened against most other major currencies although ranges were not large. USD/JPY was a bot of an exception, after an early fall is more or less flat on the session as I update. Little change also for USD/CHF while GBP, AUD, NZD, CAD have all lost ground against the dollar. Gold is back under $1800. Oil has not done a lot.
Bitcoin has lost around $1K+ on the session, to lows under $32,200 at one stage.
Data flow was light and not of much impact, we had some items out of Japan but USD/JPY stayed confined to a small range.
News flow too was light (see bullets above). Bond yields backed off during the session, lower on the news out Wednesday that the PBOC may be looking at an RRR cut, which was also reported in Chinese state financial media today.
Of interest to Australian dollar traders, RBA Governor Lowe spoke today (see bullets above). Iron ore futures on the Dalian exchange in China fell circa 3% in morning trade.
USD/JPY net little changed on the session:
ICYMI - England won their semi-final and will meet Italy in the final Sunday evening (1900 GMT), but of course no-one will be watching, everyone will be joining forexlive.com for the Monday Asia open!