Forex news for Asia trading Wednesday 28 September 2016

  • CASS expects China's economy to grow 6.7% y/y in 2016
  • Recap of Fed's Williams comments earlier: US economy can handle rate hike
  • Westpac on why the AUD is heading higher through long term downtrend
  • WSJ on the Beige Book: "Warning Sounded Over Chinese Economy"
  • China September Westpac-MNI Consumer Sentiment: 115.2 (previous 111.5)
  • Japan PM Abe: Virtuous economic cycle is beginning to work
  • HSBC expects the PBOC to remain accommodative to support growth
  • Canadian government approves Petronas LNG project
  • PBOC sets USD/CNY reference rate for today at 6.6681 (vs. yesterday at 6.6646)
  • Fed's Williams: Significant difference of views inside Federal Reserve
  • OIL - ANZ: "It looks increasingly likely that an agreement won't be reached in Algiers"
  • USD/JPY edging higher, 10-yr JGB yield at lowest since August 31
  • RBA's Edey speech (not on monetary policy)
  • S&P on "China's mystery oil stockpiles could be a 'wildcard' for markets"
  • Australian news - reports former test cricketer Max Walker has died
  • UK press: BoE Gov Carney says "positive long-term prospects for the UK economy"
  • Is Chair of the Federal Reserve Janet Yellen also facing a Trump Dump if he wins?
  • UK data - YouGov/CEBR Consumer Confidence Index +1 for September
  • Australian dollar facing a Trump dump if he wins
  • Canada finally approves natural gas export project
  • Ireland central bank governor says ECB mon pol won't be so accommodating for ever
  • Abe adviser says the strong yen should be fought by the MoF
  • Italy cuts 2016 growth forecast to 0.8% (from 1.2% previously)
  • WSJ: "Presidential Debate: Financial Markets Declare Winners and Losers"
  • "Bank of Japan Confesses: Even We Don’t Trust the Bank of Japan"
  • Trade ideas thread - Wednesday 28 September 2016
  • OIL - price up immediately after the release of the private inventory data

USD/JPY a mover in Asia today, dipping slightly early in Tokyo (100.26) before gaining as we approached the opening of the stock exchange. After a reasonably brisk move to 100.60 it stabilised somewhat and then edged slightly higher (high 100.66). Japanese stocks appear heavy today (its ex-dividend day for Topix stocks).

EUR/USD has given away a few points on the day, and USD/CHF up a little also. Both have had very small ranges. Cable has been a bit more active, down 20+ points from early session highs pre-Tokyo.

NZD/USD slid 30+ points from its early session high, while AUD/USD tested 0.7680 before drifting back to be now little changed on the session.

News flow was very light indeed, as was data.

Gold has dipped ever so slightly. Oil traded higher upon the release of private inventory data at 4.30pm NY time (a surprise draw in stocks ... we now await any announcements out of Algeria and US official inventory data Wednesday morning from the US)

The Canadian federal government approved the Petronas LNG facility in British Columbia. Its only taken half a decade (big thank-you from Australian LNG producers!) and the approval only has 190 conditions!

There is background to the decision in the bullets, above. USD/CAD is 25+ points higher on the session here today.

Regional equities:

  • Nikkei -1.59%
  • Shanghai -0.28%
  • HK -0.70%
  • ASX +0.02%

Still to come:

More: