- Japan finance minister Suzuki says FX should move stably, reflect fundamentals
- China's finance ministry says profits at state-owned firms were +10.9% y/y in January- May
- Australian Private Sector Credit growth in May +0.4% m/m (expected +0.4%)
- China June PMIs: Manufacturing 49.0 (expected 49.0) & Services 53.2 (expected 53.7)
- PBOC sets USD/ CNY mid-point today at 7.2258 (vs. estimate at 7.2525)
- Reserve Bank of New Zealand is ramping up its monitoring of stablecoins and cryptoassets
- China financial media report property market support may be coming - but only incremental
- Westpac reaffirms its forecst for a 25bp Reserve Bank of Australia rate hike on July 4
- Buffett's Berkshire Hathaway has bought even more shares of Occidental Petroleum
- Japan Industrial Production (preliminary, May) -1.6% m/m (expected -1.0%)
- Tokyo area CPI for June, headline 3.1% vs. 3.8% expected
- UBS have slashed their China stock market forecast
- Federal Reserve stock tipster? Warns of "significantly lower" stock returns in the future
- After strong US data on Thursday the probability of an FOMC July rate hike is nearly 90%
- New Zealand June Consumer Confidence hits its highest since January 2022
- USD/JPY at 152 is a possible Bank of Japan intervention trigger - Credit Suisse
- ICYMI: Brainard said inflation could reach the range of around 2% before 2024 election
- US is expected to further restrict export of Dutch chip making equipment to China
- Fed's Bostic says its not clear that inflation will continue to fall in the next 6 months
- HSBC on AUD/USD: Hawkish RBA supports, China outlook a downside risk though
- Forexlive Americas FX news wrap: The strong US data continues
- Dow and S&P rise. Nasdaq unchanged in trading today
- Trade ideas thread - Friday, 30 June 2023
USD/JPY traded briefly above 145.00 in Asia morning trade. The pop higher for USD/JPY prompted a statement from Japan’s Finance Minister Suzuki. Such statement have become a regular occurrence as the yen has weakened in past months, they usually follow moves of rapid yen depreciation. Suzuki ramped up his comments to a higher warning level today, specifically adding in:
- Sharp, one-sided moves seen in FX market.
I posted back in early June this:
it’s a handy guide to use in assessing the threat of intervention.
Earlier in the session we had inflation data from Japan, that for Tokyo in June. All three of the measures remained above 3% but came in lower than median expectations, mainly due to base effect impact. Service prices were unchanged on the month while commodity prices rose.
Also on the data agenda today were official PMIs for June from China's National Bureau of Statistics (NBS). Manufacturing remained in contraction for the third straight month while services softened just a touch and remained in solid expansion.
The People’s Bank of China set the onshore yuan at its weakest for the CNY since early November last year. USD/CNH is a little lower on the session so far circa 7.26 as I post.
AUD, NZD, CAD have added a few points on against the USD but ranges have been small.
USD/JPY is net little changed on the day: