The lead into the Asia session:
Forexlive Americas FX news wrap: ECB warns on rising inflation
- More from US Treasury Secretary Yellen, on Russia, China, US inflation & stagflation
- The US Senate has voted to approve US$13.6bn aid package for Ukraine
- More from China Premier LI: Fiscal and monetary policies will support employment
- Westpac raise their forecasts for AUD/USD
- Biden to speak Friday - expected to call for end of Russia preferential trade status
- BOJ official says Japan's economic and price conditions don't allow withdrawal of stimulus
- China Premier Li - Difficult to maintain medium- to high-speed growth for large economy
- EU says it will support Ukraine "in pursuing its European path”
- Goldman Sachs slash its US GDP projection - now "sees risk" of recession in next year
- ICYMI - London Metal Exchange will not restart the trading of nickel contracts on Friday
- USD/JPY stalling after breaking its January and February high
- PBOC sets USD/ CNY reference rate for today at 6.3306 (vs. estimate at 6.3286)
- New Coronavirus cases in China reported for yesterday surge above 1000
- Bank of Russia cancels Moscow stock exchange trading for Friday March 11
- Japan will freeze assets of three Belarusian banks
- Ukraine nuclear installation lost power due to Russian attack
- Maxar satellite images show Russian military redeploying near Kyiv
- Japan data - January Household spending -1.2% m/m (expected -3%)
- UN Security Council to convene on Friday at the request of Russia
- Reports some Russian forces are pulling back a little from Their approach to Kyiv
- More on Facebook allows calling for violence against invading Russians or Putin's death
- Oil - Iran says a deal is within reach if the US acts realistically
- Moody's has downgraded its ratings on 95 Russian corporates
- The US has seized the cargo of two tankers suspected of transporting Iranian oil
- Saudi Arabia says a refinery hit by a drone attack - operations, supply not effected
- Ukraine says Russia has attacked another nuclear facility
- RBA Governor Lowe says it'd be wise for borrowers to plan for an increase in rates
- US Treas Sec Yellen says she expects a further rise in US inflation
- Facebook and Instagram will allow calls for violence against Russians and Russian soldiers
- New Zealand data - February manufacturing PMI 53.6 (prior 52.1)
- Canada is studying if it can boost crude oil pipeline utilisation to the US.
- Major indices start a new losing streak
USD/JPY traded higher early in the session here but stalled once it made a fresh high for 2022. The following hours saw it stabilise just under 116.30 and as I post its now staging a renewed push even higher. Bank of Japan comments today were along the lines of no reason to have anything but its loose monetary policy. This came in the hour before the renewed leg higher.
China’s Premier Li spoke at length in a media conference today. He spoke on China stimulus to come. This confirms widespread expectations for more in markets. China is battling enormous property market debt, a surging COVID-19 outbreak (above 1000 new cases reported today - for yesterday - for the first time 2 years) and associated ‘strict’ COVID-zero polices, and a weakening external sector as Russia’s war in Ukraine weighs.
Coming up on Friday, US President Biden will announce that, along with the European Union and the Group of Seven countries, the US will move to revoke “most favoured nation” trade status for Russia over its invasion of Ukraine (this from unnamed sources but its not going to be wrong). Biden will speak at 10.15am Washington time (1515 GMT). Also coming up on Friday, Russia has called a meeting of the UN Security Council to discuss “military biological activities” in Ukraine. Analysts expect this fake narrative is laying the groundwork for Russian use of WMDs in Ukraine. Indeed, satellite imagery is showing Russian forces pulling back a little from the town of Sumy (see bullets above).
Russia attacked another nuclear facility in Ukraine (see bullets above).
Also today EU leaders said yes to Ukrainian inclusion in the EU (at least to get the process started with EU leadership support).
EUR/USD, cable were basically flat on the session. AUD, NZD, CAD lost ground.
