Results for 'China'
32 articles with this tag name
Updated May 15, 2013 10:12:41 PM
Last week the renminbi reached its highest level against the US dollar in 19 years. Since mid-2005 USDCNY has been on a controlled decent from a fixed position around 8.2765 to its low of 6.1307. If not for the intervention of Beijing the decrease would have been more of a collapse. However, is the renminbi still undervalued? From a fundamental perspective the Chinese currency is more fairly valued now than it was a decade ago,
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Updated May 13, 2013 12:10:13 AM
The Australian dollar’s push below parity against the US dollar has dominated the headlines, but the downward movement of that pair is dwarfed by corresponding price action in GBPAUD. Since early April broad GBP strength and AUD weakness has resulted in over a 1000 pip move in the pair. Positive data surprises last month out of the UK (March PMI, Q1 GDP and April manufacturing) fuelled the rally in the British pound, while looser monetary
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Updated May 8, 2013 1:17:52 AM
RBNZ Governor Wheeler sparked a sell-off in the kiwi after he stated that the RBNZ has been selling NZ dollars and is capable of further intervention to weaken the kiwi. This isn’t the first time the Governor has talked about intervention, but the idea of being on the wrong side of the fence if the bank were to start heavily amassing foreign currency spooked the market. NZDUSD lost just fewer than 100 pips immediately after
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Updated May 3, 2013 1:23:05 AM
The Aussie and Kiwi retraced some of Wednesday’s losses against the dollar, while EURUSD and USDJPY remained flat throughout the session. USDJPY rocketed higher overnight on the back of better than expected data out of the US and an attempt from the ECB to stimulate growth in Europe. The ECB elected to cut its main interest rate and indicated it’s keeping an open mind about imposing negative deposit rates. The former was largely expected, but
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Updated May 1, 2013 12:56:08 AM
China’s growth rebound has taken another hit, with its manufacturing sector expanding less than expected according to an official survey of business sentiment. China’s purchasing mangers’ index fell to 50.6 in April from 50.9 the prior month, just missing a consensus estimate of around 50.7. The slump in sentiment in the heart of China’s economy is cornering, especially a decline in new export orders. While the headline figure is holding in expansion territory, albeit only
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Updated Apr 30, 2013 12:41:11 AM
The ASX 200 is looking like it may close at its highest level since 2008, with the financial sector leading the charge after ANZ raised its first-half dividend. Also, the broader market is feeding off a positive lead from the US on the back of better than expected housing data for March. Pending home sales increased 1.5% m/m, higher than an expected 1.0% increase and a prior 0.4% decrease. Building permits miss expectations, increasing
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Updated Apr 23, 2013 12:50:03 AM
Investor sentiment took a hit on the back of weaker than expected manufacturing data out of China, with investors flocking to safe haven assets. The yen was a particular favourite of the market today, which isn’t surprising given its safe haven status and its failed attempt to push through 100.00 yesterday. USDJPY was sent below 99.00 on the back of China’s PMI data and continued to sell-off for the rest of the session, before eventually
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Updated Apr 19, 2013 12:51:46 AM
The yen lost more ground today against the majors after Japanese Finance Minister Aso said the G20 isn’t opposed to Japan’s policies, adding that Abe’s economic plans are aimed at ending deflation (implying that Tokyo isn’t directly targeting the yen). At prior meetings G20 officials had expressed concerns about currency manipulation, which brought the possibility of further quarrels at this week’s meeting over the issue to the attention of investors. There was some talk of
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Updated Apr 15, 2013 12:53:33 AM
A slew of weak Chinese economic figures underpinned a risk sell-off and stocked fears that China’s economic recovery is already burning out. China’s Q1 GDP increased 7.7% y/y, significantly lower than the 8.0% y/y rise that was expected. Over the same period industrial production and fixed asset investment in the world’s second largest economy also missed estimates, increasing 8.9%y/y and 20.9% YTD y/y respectively. Retail sales were in line with estimates of a 12.6% rise.
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Updated Apr 10, 2013 1:13:04 AM
Another round of strong Chinese trade results lifted the Australian dollar back above 1.0500 against the US dollar. Exports rose 10% from a year earlier, slightly less than expected for March but extending a recent run of strong trade data. The biggest surprise came from a 14.1% y/y increase in imports, after falling 15.2% y/y to February. China’s import data, if taken at face value, suggests Beijing may be making headway towards a more domestic
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