- Japan press reports Kuroda says a big yen fall in a short time is negative for the economy
- China to allow Didi app back on domestic app stores - hoping to prompt economic boost
- Senior BOJ official says sharp yen weakening is undesirable
- BOJ Gov Kuroda says weak yen is beneficial for Japan's economy if moves are not too sharp
- BOJ's Kuroda still no comments on yen
- Bank of Japan Governor Kuroda does not mention the yen weakness, so it drops some more
- PBOC sets USD/ CNY central rate at 6.6649 (vs. estimate at 6.6597)
- BOJ Gov. Kuroda speaking, has not addressed the sharp fall in the yen (yet anyway)
- New Zealand data: ANZ Commodity Prices for May -2.8% m/m (vs. prior -1.9%)
- Goldman Sachs pump their oil price forecasts higher
- Japan finance minister Suzuki says rapid yen moves are inappropriate
- AUD, NZD, GBP all dribbling lower against the USD in Asia morning trade
- NZD traders - heads up for the dairy auction due during London time, Tuesday, 7 June 2022
- Australia data - ANZ Roy Morgan weekly consumer confidence 87 (prior 90.7)
- Japan data - April wages +1.7% y/y & April household spending -1.7% y/y
- UK data - BRC like-for-like sales in May -1.5% y/y (prior -1.7%)
- China state financial press says economy expected to rebound in H2
- Australian services PMI for May 49.2 (prior 57.8)
- Barclays raise their Brent crude price forecasts by US$11/bbl for 2022 & US$23/bbl for '23
- Morgan Stanley see potential for Brent oil to rise to to $150 / barrel
- Goldman Sachs warn of USD/JPY intervention risk, favour long yen
- ICYMI: Barclays forecast ECB interest rate rises 25 bp each meeting from July to December
- A newly confident UK PM Johnson says he is not interested in a snap election
- JP Morgan gold price forecast: US$1800 in Q3 this year
- Trade ideas thread - Tuesday, 7 June 2022
- Forexlive Americas FX news wrap: USD/JPY climbs to a 20-year high
- GBP not showing too much response to the Boris Johnson vote (BJ won)
- Modest/small gains for the US indices
- UK PM Boris Johnson survives
The yen continued dropping steeply. USD/JPY rose above 132.00 in early trade and then to above 132.75 with Kuroda testifying in parliament without expressing much concern at all on the weak yen. Bank of Japan Governor Kuroda addressed issues on the economy and policy for around an hour before finally moving on to the yen. He repeated he assesses the weak yen as a net positive for the Japanese economy, he seemed to pay mere lip service to not wanting yen weakness to be too rapid. As I post USD/JPY has stabilised circa 132.60/70 or so.
The USD was strong across the major FX board. AUD, NZD, CAD, EUR, GBP and C HF all dropped during the session. Not nearly to the same extent as the yen though.
The Reserve Bank of Australia policy decision is due at 0430 GMT. The Bank is expected to hike its cash rate again, following the hike last month. A 25bp rate rise is the consensus although not by much, up by 40bp is running a close second in expectations.
As referred to in the headline, crypto was hit hard. BTC back under, well under, US$30K.
