- Japanese exports declined for an 8th successive month, falling -1.6% YoY compared with -2.2% expected. China-bound shipments of car parts was the main drag on the headline figure, and exports to China declined by -9.3% YoY. Separately, a Reuters Tankan survey showed manufactures were pessimistic for the fort time in 6 years as the trade war continues to bite.
- New Zealand producer prices rebounded in Q2 by 0.5% QoQ, up from -0.5% prior. Input prices also improved and hit 0.3% QoQ versus -0.9% prior.
- Narrow ranges across the FX space with all monitored pairs remaining well within their typical daily ranges. GBP and AUD are currently the strongest majors, CHF and CAD are the weakest.
- NZD/USD edged its way to an 8-day low (when RBNZ cut by 50bps) and is the only major to break Friday’s range. USD/CHF is testing resistance around 0.98, gold is consolidating around $1509, Silver has touched a 3-day low.
- The Asian stock markets have reacted more positively towards the interest rate reforms plan proposed by China central bank, PBOC over the weekend where all of them have gained as at today’s Asian mid-session.
- The top performers are Hong Kong’s Hang Seng Index and China A50 which have rallied by 1.87% and 1.08% respectively. The on-going rally seen in the Hang Seng Index has also been supported by a peaceful large-scale protest event held yesterday in contrast with previous mass protest demonstrations that have been chaotic with clashes between the police and protesters.
- The S&P 500 E-mini futures has traded up by 0.60% in today’s Asia session to print a current intraday high of 2903 after a positive close of 1.14% seen on last Fri, 16 Aug U.S. session.
- The FTSE 100 and German DAX CFD futures are trading with modest gains as well at this juncture; up by 0.50% and 0.45% respectively.
- A quiet session awaits, with the main data including final CPI reads for Europe. In fact data this week is quite sparse ahead of the Jackson Hole Symposium over the weekend, here the main topic is “challenges for Monetary Policy”.
- U.S. Commerce Department’s announcement on whether to extend the existing permit in place for U.S. firms to conduct business dealings with China’s Huawei Technologies.
*Data from Refinitiv. Index names may not reflect tradable instruments and not all markets are available in all regions.
Kelvin Wong and Matt Simpson both contributed to this article.
Disclaimer: The information on this web site is not targeted at the general public of any particular country. It is not intended for distribution to residents in any country where such distribution or use would contravene any local law or regulatory requirement. The information and opinions in this report are for general information use only and are not intended as an offer or solicitation with respect to the purchase or sale of any currency or CFD contract. All opinions and information contained in this report are subject to change without notice. This report has been prepared without regard to the specific investment objectives, financial situation and needs of any particular recipient. Any references to historical price movements or levels is informational based on our analysis and we do not represent or warranty that any such movements or levels are likely to reoccur in the future. While the information contained herein was obtained from sources believed to be reliable, author does not guarantee its accuracy or completeness, nor does author assume any liability for any direct, indirect or consequential loss that may result from the reliance by any person upon any such information or opinions.
Futures, Options on Futures, Foreign Exchange and other leveraged products involves significant risk of loss and is not suitable for all investors. Losses can exceed your deposits. Increasing leverage increases risk. Spot Gold and Silver contracts are not subject to regulation under the U.S. Commodity Exchange Act. Contracts for Difference (CFDs) are not available for US residents. Before deciding to trade forex and commodity futures, you should carefully consider your financial objectives, level of experience and risk appetite. Any opinions, news, research, analyses, prices or other information contained herein is intended as general information about the subject matter covered and is provided with the understanding that we do not provide any investment, legal, or tax advice. You should consult with appropriate counsel or other advisors on all investment, legal, or tax matters. References to Forex.com or GAIN Capital refer to GAIN Capital Holdings Inc. and its subsidiaries. Please read Characteristics and Risks of Standardized Options.