Forex news for Asia trading Tuesday 28 June 2016

  • China Premier Li: Won't allow roller coaster ride in China capital markets
  • PBOC says yuan is basically stable against its currency basket
  • More comments from Japan, Suga, Aso, Ishihara
  • ForexLive poll / feedback. What automated trading tools are traders using?
  • Bill Gross says odds of a U.S. recession may be as high as 50 %
  • BOJ's Kuroda: Central banks ready to take steps to assist mkts functioning
  • Japan PM Abe: markets have calmed somwhat, outlook unclear
  • "Oil prices rise on looming Norway strike, but Brexit still weighs"
  • PBOC sets USD/CNY central rate at 6.6528 (vs. yesterday at 6.6375)
  • I'm gonna have to be careful here, this is article #49.
  • PBOC denies reports of reintroducing interest rate controls
  • Post -Brexit vote - Morgan Stanley says to fade stabilisation efforts
  • US economy jitters - consumers pulling back on restaurant visits
  • Here's the Credit Suisse flowchart on how Brexit can be avoided
  • Australia - ANZ Weekly Consumer Confidence: 116.8 (prior 118.8)
  • Brexit - timeline to elect new PM is tight
  • PIMCO on Brexit vote outcome - little evidence of liquidity stress
  • UK's Osborne rules himself out as candidate to lead Conservative party
  • RBA investigates why retail inflation low. Finds the cause is low prices :-D
  • Japan ruling party official calls for ¥ 20tln stimulus
  • Australian Treasurer Morrison: No suggestion further fiscal stimulus needed
  • Brexit - UK Health Sec. says UK could hold 2nd referendum
  • Will the Brexit vote be enough for the PBOC to cut?
  • Trade ideas thread - Tuesday 28 June 2016
  • Fitch downgrades UK

A better session for the GBP today, from lows around 1.3200 early Asia (late NY) to above 1.3330. EUR, AUD, NZD all gained also. There was no new news to drive the moves, the market is volatile enough to move without news a catalyst.

The yen softened along with these moves, USD/JPY from circa 101.60 lows to around 102.20. There was a barrage of comments from Abe, Kuroda, Aso, Suag and Ishihara to help things along (not hiner today).

In other developments:

Real money buying of the AUD was said to be 'safe haven' seeking flows, and be aware of option expiries today around 0.7350 that may see that level sticky, though so far we have blasted past it.

The People's Bank of China set the mid-point for the CNY (against the USD) today at another 5+ year low, CNY to its lowest since December 2010 again today.

Regional equities:

  • Nikkei +0.29%
  • Shanghai -0.04%
  • HK -0.87%
  • ASX -0.71%