Will keep liquidity reasonably ampleWill keep yuan exchange rate basically stableWill fend off systemic financial risksWill keep prices basically stableWill adjust, optimise property policies in a timely mannerThese are all very bland and generic stuff from the PBOC....
Gold Technical Analysis – We are hovering around a key level
The US real yields keep on rising non-stop and given the inverse correlation with Gold, we saw the precious metal falling non-stop as well. The economic data continues to show a resilient economy even after the second most aggressive tightening in history and this...
Nasdaq 100, Dow and Nikkei 225 hit one-month low as China worries intensify
Article by IG Chief Market Analyst Chris BeauchampNasdaq 100, Dow Jones, Nikkei 225 Analysis and ChartsNasdaq 100 at one-month lowThe pullback continues here, with no sign of a low being formed as yet. Having fallen below support at 14,920, the price now targets...
Eurozone June trade balance €23.0 billion vs -€0.3 billion prior
Prior -€0.3 billionThe seasonally adjusted trade balance came in at a surplus of €12.5 billion, but came as exports were down 0.5% on the month while imports slumped harder by 5.6% on the month. The latter in particular remains a function of a further improvement in...
Major currencies not doing a whole lot so far on the session
It shouldn't come as too much of a surprise really. We've been sort of stuck in this mood for more than a week now. The summer lull is really kicking into effect in Europe. EUR/USD is flattish at 1.0876 and sitting within a 23 pips range so far today while USD/JPY is...
Russell 2000 Technical Analysis – The break of the support is a big bearish sign
Despite good economic data like lower core inflation, stable jobless claims, lower inflation expectations and strong consumer spending that support the soft-landing narrative, the Russell 2000 just keeps on falling with very shallow pullbacks. One of the main reasons...
Market Update – August 17 – Stocks down, Treasury yields up
Nothing new in the FOMC minutes – “significant upside risks to inflation which might require further tightening” pushed recent dip buyers to the sidelines, allowing yields to drift higher into the day’s end. – Today, implied Fed funds...
S&P 500 Technical Analysis – This trendline is key for the next major move
Despite good economic data like lower core inflation, stable jobless claims, lower inflation expectations and strong consumer spending that support the soft-landing narrative, the S&P 500 just keeps on falling with very shallow pullbacks. One of the main reasons...
European equities keep lower at the open today
Eurostoxx -0.5%Germany DAX -0.5%France CAC 40 -0.5%UK FTSE -0.4%Spain IBEX -0.5%This follows the negative late showing in US stocks yesterday. As bond yields continue to climb, it is weighing on the overall risk mood. US futures are up marginally by 0.1% now but as...
Heads up: The infamous Jackson Hole symposium will be taking place next week
This year, the symposium will carry the theme of "Structural Shifts in the Global Economy". In 2022, the theme was "Reassessing Constraints on the Economy and Policy". As always is the case, the agenda and list of participants will only be finalised in the days...
Dow Jones Technical Analysis – Watch what happens at this key support
Despite good economic data like lower core inflation, stable jobless claims, lower inflation expectations and strong consumer spending that support the soft-landing narrative, the Dow Jones just keeps on falling with very shallow pullbacks. One of the main reasons...
10-year Treasury yields close in on the high from October last year
Watch this space. 10-year Treasury yields are up another 5 bps today to 4.31% now and that is the highest level since October last year. The bond market continues to be at the wheel and if we do see yields break higher later today, expect that to have ramifications...
FX option expiries for 17 August 10am New York cut
There is just one to take note of for the day, as highlighted in bold.That being for EUR/USD at 1.0880 but I don't see the expiries set as being that big of a pull factor for price action. There isn't any technical significance attached to the level and the downside...
China’s aging population and smaller workforce to weigh on economic growth – Moody’s
It goes without saying that Japan is the leading example in this space and China is also looking to go down that path. In fact, so are a lot of countries. But when you have been on the path of surging economic growth over the past two decades, this sort of reality...
A quiet one on the agenda in Europe today
It's not like markets need any more reason to not move, right? Rightttt? I mean, we've been seeing some typical summer lull days in Europe as of late and today might be no different. All the action and turnaround in market moves seems to be happening in the US and...
The aussie decline looks set to continue
The selling today is in part to do with the poor Australian jobs report earlier here. But it also comes against the backdrop of a firmer dollar from yesterday and with growing concerns over the Chinese economy and a flailing yuan currency as well.AUD/USD daily...
The bond market is at the wheel
As has been the case in the last week or so, the turnaround came in US trading again. And that saw Treasury yields climb with 10-year yields now testing the highs from October last year.US Treasury 10-year yields (%) daily chartAs mentioned earlier in the week, if...
$5bn acquisition of Israeli chip manufacturer by Intel has been called off, China said no
AP with this report on a deal between a US and Israeli firm scuttled by China. A $5.4 billion acquisition of Israeli chip manufacturer by Intel has been called off after China failed to sign off on the deal amid rising tensions with the United States. The deal...
China trust company Zhongzhi is planning a debt restructuring
High risk warning: Foreign exchange trading carries a high level of risk that may not be suitable for all investors. Leverage creates additional risk and loss exposure. Before you decide to trade foreign exchange, carefully consider your investment objectives,...
ForexLive Asia-Pacific FX news wrap: USD edges higher still
China was once again a focus with Hong Kong’s Hang Seng index plunging again, on approach to 20% down from its high in January this year. After falling circa 2% it has found support and as I post its only down around 1% on the day. Rumours are circulating that Chinese...