When I say 'by a lot' I do not mean go and a lot, OK? buy The Hang Seng is the biggest loser on regional exchanges here, China not too far behind: – Japan's Nikkei +2% The latest from HK is the local legislature has been adjourned, tensions between pro-democracy and pro-China establishment high and […]
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ForexLive Asia FX news wrap: EUR retested its overnight high
Forex news for Asia trading Thursday 28 May 2020 US/China/HK issues intensified during the US session with Secretary of State Pompeo sending his report to Congress arguing Hong Kong is now under the purview of China and no longer qualifies for special status treatment by the US (that's the in a nutshell version). If this […]
EUR/USD tested its overnight high … does it love when a plan comes together?
EUR/USD testing to its highs circa 1.1030 (getting just above) and backing off a little now. The pair got a boost overnight from European Commission President, Ursula von der Leyen's plans for her economic rescue and recovery package for the Eurozone.
Oil – where we are at
Scanning some of the info crossing on oil, prices feeling some pressure on: – US / China strains increasing – surprise headline build in crude oil inventory reported earlier(late US afternoon) … eyes on the US government's EIA data due Thursday morning (US time) On the other hand:
Australia Private Capital Expenditure for Q1 2020: -1.6% q/q (expected -2.6%)
Australian capex data Headline is % q/q – expected -2.6% q/q, prior -2.8% Building capex -1.1% – Plant, machine capex -2.3% Estimates for spending ahead:
New Zealand business confidence (May) -41.8 (vs. prior -66.6)
New Zealand ANZ business survey for May, final Business Confidence -41.8 – preliminary was -45.6 vs. prior -66.6 Activity Outlook -38.7 – preliminary -42.0 vs. prior -55.1
HSBC on negative interest rates – may be ignored by forex markets
HSBC research note on the impact of negative rates, saying the effect on economies is complex and the result therefore for FX is unclear. Negative interest rates contribute to a breakdown in the relationship between rates and FX
Overnight piece on China to limit coal imports (note that this was news from last week)
The financial Times had the report: that China is expected to promote the use of domestic coal by tightening import rules (, FT may be gated) Link
The US mission to the UN is seeking a security council meeting on Hong Kong
US continues to edge up the pressure on China on HK. See here for global coronavirus case data
UK Times report UK PM Johnson to go to Brussels in June to meet with EU
UK Prime Minister Boris Johnson will meet with European leaders Brexit (trade) talks on the agenda. Recommencing. See here for global coronavirus case data