Japan stocks rise and the yen sinks as Abe cruises to victory
NZ dollar continues to slide on formation of centre-left coalition as government
Forexlive RSS Breaking News Feed 2017-10-23 02:31:23
All China new home prices +0.2% m/m (August was +0.2% also)
Those ‘all China’ figures via Reuters reporting on info from the stats bureau
September Beijing
new home prices -0.1 pct m/m (Aug unchanged vs previous month)
Deutsche Asset (in HK) says evidence of significant of progress in deleveraging
Deutsche Asset Management in Hong Kong nominate areas of significant areas of progress for debt unwinding in China:
– A drop in the stock of wealth-management products
DB say the POBC
Japanese Yen Weakens As Abe Romps To Big Election Victory
The Japanese Yen took a slip as a new week got under way. A win for PM Shinzo Abe offers investors the vista of unhindered Abenomics as far as they eye can see.
PBOC sets USD/CNY central rate at 6.6205 (vs. Friday at 6.6092)
CFETS set the RMB index at 94.64 on Friday, from 95.00 the previous Friday
In Open Market Operations the People’s Bank of China
– to inject 110bn yuan via 7 day reverse repos
Net 140bn injection (after maturing RRs) today and a …
FX option expiries for Monday 23 October 2017
Nearby forex options expiry at the 10am New York time cut today
EUR/USD (euro amounts)
– 1.1900 390m
– 1.1870 460m
– 1.1800 505m
– 1.1785 605m
– 1.1730 895m
USD/JPY (these are US D amounts)
Morgan Stanley says BOJ may switch Yield Curve Control to 5-Year JGBs from 10-Year
Morgan Stanley strategists a client note on their outlook for the Bank of Japan:
– Market is anticipating some early BOJ tightening
– MS cites rising rates at front-end of JPY OIS
via Bloomberg
&nbs…
More UK data – increase in capex intentions reported
EEF (formerly the Engineering Employers’ Federation) & Santander (bank)
– Business investment had slowed this year
– But the proportion of manufacturers planning to invest more over the next two years had risen to 51 percent from 43 percent in 2016…
UK data – IHS Markit Household Finance: 43.8 in October (42.8 in September) – recovering
While this is not an immediate market-moving piece of data its all part of the puzzle!
IHS Markit Household Finance Index, launched in 2009)
– in October to its highest since June
For October, Markit cite:
USD broadly higher; USD/JPY above 114
Pretty much across the board USD strength as Tokyo get well and truly underway and Singapore & Hong Kong entering for the week.
Updates:
Yen seeing some weakness after Abe’s win – more of the same expected from the BOJ and the focus back on develop…
Asia AM Digest: NZ Dollar Losses Mount, Yen Drops After Election
The New Zealand Dollar continues to trade lower after Labour’s election triumph while the Yen is down after Japan’s ruling coalition defended its majority in a vote over the weekend.
UK press reports US preparing to put nuclear bombers on 24-hour ready alert
More detail below but note first up that this was out prior to the weekend from other media
– U.S. Air Force is preparing to put nuclear-armed bombers back on 24-hour ready alert
And, to repeat – this is not fresh news. But in the UK press no…
eFXnews 2017-10-23 00:19:46
Credit Agricole CIB FX Strategy Research discusses the EUR outlook ahead of next week's ECB October policy meeting in which The central bank is expected to announce its plans for the recalibration of its QE programm.
read more
Forexlive RSS Breaking News Feed 2017-10-22 23:45:00
Credit Agricole getting an early Monday morning start, comments on the Japanese election result and USD/JPY:
– Election results as expected
– Recent stock rally already pricing in this victory – Japan stocks may face profit taking
(Credit Agricole…
Italy voting – Lombardy voter 95% in favour or more autonomy
This refers to voting in two northern Italian regions run by populist presidents
Latest from Reuters:
—
Note that voter turnout has not been not large (At midday turnout in Lombardy was at 10% and around 21% in Veneto… I’ll try to find up…
Forexlive RSS Breaking News Feed 2017-10-22 23:11:41
The snap Japanese election is over and indications are PM Abe has won big time
– (NHK report Abe’s Liberal Democratic Party along with its coalition
partner (Komeito) look … likely
above 310 seats)
What are the implications of …
US Dollar Momentum Building; Q3 GDP, Fed Chair Announcement Possible
The coming week will see several key economic data series released, including the initial Q3’17 US GDP report. However, attention may be focused off the calendar, as market participant await US President Trump’s next pick for Chair of the …