- There are reports that US Senate negotiators are near a deal to keep govt open after Oct 1
- Japanese Economic Minister Shindo says important for currencies to move in stable manner
- Japan's Finance minister Suzuki says rapid FX moves are undesirable
- Fed's Kashkari says if government shut down will do best we can with private data
- ECB speakers today will include Lane, Simkus and Holzmann
- More from Fed's Kashkari: Rates probably have to a little higher, held there for longer
- Ex-PBOC Adviser says China’s property market could take as long as a year to recover
- PBOC sets USD/ CNY reference rate for today at 7.1727 (vs. estimate at 7.3174)
- Fed's Kashkari says there is still more to be done on services inflation
- JP Morgan says 'higher for longer' worries markets. Also don't understand frogs.
- Japan data - August PPI Services (Corporate Services Price Index) 2.1% y/y (expected 1.8%)
- Australian Weekly ANZ Roy Morgan Consumer Confidence survey slumps to 76.4 (prior 79.8)
- China Golden Week holidays coming up - surging travel will boost demand for oil
- Inflation data is due from Australia mid-week - preview
- Goldman Sachs 4 reasons higher oil prices merely a "manageable headwind" for US economy
- Bank of Japan intervention in USD/JPY usually results in an initial 500 point drop
- Nomura, JP Morgan both tip a higher USD/yuan (USD/CNH)
- Chevron chair/CEO says oil price going above $100 - "It’s fundamentally supply and demand"
- Forexlive Americas FX news wrap: USD/JPY follows yields higher once again
- US stocks close near highs for the session.
- Trade ideas thread - Monday, 25 September 2023
News and data flow was very light indeed during the session here. As I am writing the news is crossing that US Senate Republican and Democrat negotiators are nearing a deal on a short-term spending measure intended to keep the government open after October 1st. The measure is a stop-gap for 4 to 6 weeks of funding. Apart from that there isn’t anything fresh at all on the news front.
From Japan we had some lacklustre verbal intervention comments aimed at supporting the JPY. USD/JPY is barely off its session high (in a tiny range) so these haven’t weighed too much on the pair.
From the People’s Bank of China we had a record high divergence between the modelled estimate for the USD/CNY reference rate setting and the actual. See bullets above for more on this.
Federal Reserve Bank of Minneapolis President Neel Kashkari said he is in the ‘one more Fed Funds rate hike this year’ camp.
Asian equity markets:
Japan’s Nikkei 225 -0.9%
China’s Shanghai Composite -0.1%
Hong Kong’s Hang Seng -0.6%
South Korea’s KOSPI -1.2%
Australia’s S&P/ASX 200 -0.6%
USD/JPY is a picture of pent-up energy ready to burst ...
