It’s been a quiet start to the week for Asia-Pac, with very little market-moving news and very little price action to get excited about.
Equities: futures started the week on the softer side with marginal downside seen in equity futures (mostly across the board), but have since regained some composure albeit we are still down on the session.
Commodities: Commodities are trading mixed with WTI and Brent close to fat, while Natgas is lower. Base metals (copper and iron ore) are both down close to half a percent, while precious metals are mixed with gold and silver higher while platinum is down.
Bonds: Mostly higher but marginal moves so far with yields still relatively close to the lows seen last week.
FX: The CHF is the strongest while the AUD is the weakest this morning, but catalysts for the moves are very thin as mentioned. We saw some of the same-old currency jawboning from Japanese officials which has kept the JPY marginally supported, but markets have watched this movie so many times. Intervention will be on everyone’s minds this week as USDJPY trades close to 160.
Risk premiums for Sterling feels a bit lowNZ credit card spending YY 0.0% vs -0.6% priorInterest rate expectations for the Fed after Friday’s Flash PMI dataSouth Korea, Japan, US strongly condemn deepening Russia/North Korea military cooperationJapan Finance Minister Suzuki on the wiresPBoC injects 50 billion Yuan via 7-day reverse reposEquity futures seeing some pressure across the boardPBOC sets USD/ CNY reference rate for today at 7.1201 (vs. estimate at 7.2647)PBOC is expected to set the USD/CNY reference rate at 7.2647USD strongest while NZD is the weakestBoJ summary of opinions for the June meetingWhat to expect from the BoJ summary of opinions this morningJapan FX Diplomat Kanda doesn’t comment on FX levelsNZ Exports for May 7.16B vs 6.42B priorUSDJPY approaching 160 againCNH continues to lose ground due to capital outflowsUS prosecutors recommend criminal charges against BoeingToday’s Economic CalendarMonday morning open levels – indicative forex prices – 23 June 2024
This article was written by Arno V Venter at www.forexlive.com.
