The Dollar sees red in the early hours as the markets await China's trade figures. Trump's Twitter account may ultimately be the key driver on the day...
It was another relatively busy Asian session this morning. Key stats including New Zealand business PMI and finalized industrial production figures out of Japan. Later in the day, China trade is also due out.
Outside of the stats, the markets reacted further to FED Chair Powell’s testimony to Congress on Thursday and updates from the U.S – China trade talks.
The Business PMI increased from 50.2 to $51.3 in June, falling short of a forecasted rise to 53.1. According to the latest PMI survey,
The Kiwi Dollar moved from $ 0.66641to $0.66636 upon release of the figures. At the time of writing, the Kiwi Dollar was up by 0.35% to $0.6684.
According to finalized figures released by Ministry of Economy, Trade, and Industry, industrial production rose by 2% in May. The finalized number came up short of a prelim and forecasted 2.3% rise.
The Japanese Yen moved from ¥108.391 to ¥108.363 upon release of the data. At the time of writing, the Japanese Yen was up by 0.14% to ¥108.35 against the U.S Dollar.
At the time of writing, the Aussie Dollar was up by 0.33% to $0.6997, as the markets awaited trade data out of China.
It’s a relatively busy day ahead on the economic calendar. Finalized Spanish inflation figures for June are due out ahead of the Eurozone’s industrial production figures for May. Barring any revisions to Spain’s inflation numbers, the focus will be on industrial production.
Outside of the stats, geopolitical risk could also influence on the day…
At the time of writing, the EUR was up by 0.14% to $1.1270.
It’s a quiet day ahead on the economic calendar, leaving Brexit and the leadership race on focus.
At the time of writing, the Pound was up 0.18% to $1.2543.
As the dust settles from FED Chair Powell’s 2-days of testimony, wholesale inflation figures for June are due out later today.
We can expect the Dollar to be sensitive to the numbers.
Outside of the numbers, chatter from the Oval Office will also need to be considered on the day.
At the time of writing, the Dollar Spot Index was down by 0.13% to 96.922.
There are no material stats due out, leaving the Loonie in the hands of market risk appetite.
On the crude oil front, the IEA’s monthly report will also influence…
The Loonie was up by 0.28% to C$1.3036, against the U.S Dollar, at the time of writing.
With over 20 years of experience in the finance industry, Bob has been managing regional teams across Europe and Asia and focusing on analytics across both corporate and financial institutions. Currently he is covering developments relating to the financial markets, including currencies, commodities, alternative asset classes, and global equities.