Global Markets:
- Asian stock markets: Nikkei up 3.95 %, Hang Seng gained 1.60 %, ASX 200 rose 1.70 %, Shanghai Composite closed
- Commodities: Gold at $1368 (+0.75 %), Silver at $20.65 (+2.75 %), WTI Oil at $45.00 (-0.80 %), Brent Oil at $46.40 (-0.75 %)
- Rates: US 10 year yield at 1.37, UK 10 year yield at 0.73, German 10 year yield at -0.20
News & Data:
- Japanese Machine Orders (MoM) May: -1.4% (est 3.2%, prev -11.0%)
- Japanese Machine Orders (YoY) May: -11.7% (est -8.7%, prev -8.2%)
- Japanese Money Stock M2 (YoY) Jun: 3.4% (est 3.4%, prev 3.4%)
- Japanese Money Stock M3 (YoY) Jun: 2.9% (est 2.8%, prev 2.8%)
- Australian Home Loans (MoM) May: -1.0% (est -2.0%, prev 1.7%)
- PBOC Fixes Yuan Reference Rate at 6.6843 (prev 6.6853)
- Japan's ruling bloc win landslide in upper house election – RTRS
- Australia’s prime minister declares victory in marathon election – RTRS
- Bank of England mulls property fund shake up to stop panic sales – Sunday Telegraph
- Moody’s: Australian credit profile depends on implementation of fiscal policy – BBG
- China June inflation eases further, more policy stimulus anticipated – CNBC
CFTC Positioning Data:
- EUR 75K short versus short 62K last week
- GBP 49K short versus short 43K last week
- JPY 64K long versus long 60K last week
- CHF 9K long versus long 11K last week
- CAD 12K long versus long 8K last week
- AUD 5K long versus short 2K last week
- NZD 1.4K short versus short 2.8K last week
Markets Update:
EUR/USD started the new trading week around 1.1045, little changed from Friday's close, and traded within a 1.1035-55 range overnight. GBP/USD was quiet as well and consolidated between 1.2930 and 1.2960. USD/JPY rallied in Asia, along with the major equity indices, and broke back above 101.
The Australian Dollar also benefited from the improvement in risk appetite and AUD/UD rose from 0.7540 at the Tokyo open to 0.7575. NZD/USD failed to catch a bid and fell from 0.7305 at the open to a low of 0.7280. Meanwhile, USD/CAD traded in a 1.3030-65 range.
Upcoming Events:
- 09:00 BST – Italian Industrial Production
- 13:15 BST – Canadian Housing Starts
- 15:00 BST – US CB Employment Trends Index
- 15:00 BST – FOMC Member George speaks
The Week Ahead:
Tuesday, July 12th
- 02:30 BST – FOMC Member Mester speaks
- 02:30 BST – Australian NAB Business Confidence
- 07:00 BST – German CPI
- 10:00 BST – Bank of England Governor Carney speaks
- 14:15 BST – FOMC Member Tarullo speaks
- 14:35 BST – FOMC Member Bullard speaks
- 15:00 BST – US JOLTs Job Openings
- 22:30 BST – FOMC Member Kaplan speaks
Wednesday, July 13th
- 01:30 BST – Australia Westpac Consumer Sentiment
- 02:30 BST – Chinese Trade Balance
- 02:30 BST – Chinese Exports & Imports
- 05:30 BST – Japanese Industrial Production
- 07:45 BST – French CPI
- 08:00 BST – Spanish CPI
- 09:00 BST – Italian CPI
- 10:00 BST – Euro Zone Industrial Production
- 11:00 BST – FOMC Member Harker speaks
- 14:00 BST – FOMC Member Kaplan speaks
- 15:00 BST – Bank of Canada Rate Decision
- 15:00 BST – Bank of Canada Monetary Policy Report
- 15:30 BST – US Crude Oil Inventories
- 16:15 BST – Bank of Canada Governor Poloz speaks
Thursday, July 14th
- 01:00 BST – Singapore GDP
- 02:00 BST – Bank of Korea Rate Decision
- 02:30 BST – Australia Employment Change
- 02:30 BST – Australia Unemployment Rate
- 08:15 BST – Swiss PPI
- 12:00 BST – Bank of England Rate Decision
- 12:00 BST – Bank of England Meeting Minutes
- 13:30 BST – US Initial Jobless Claims
- 13:30 BST – US PPI
- 16:15 BST – FOMC Member Lockhart speaks
- 18:15 BST – FOMC Member George speaks
Friday, July 15th
- 03:00 BST – Chinese GDP
- 03:00 BST – Chinese Industrial Production
- 03:00 BST – Chinese Retail Sales
- 10:00 BST – Euro Zone CPI
- 13:00 BST – Bank of England Governor Carney speaks
- 13:30 BST – US Retail Sales
- 13:30 BST – US CPI
- 13:30 BST – Canadian Manufacturing Sales
- 14:15 BST – US Industrial Production
- 14:15 BST – US Manufacturing Production
- 15:00 BST – US Michigan Consumer Sentiment
- 20:30 BST – US CFTC Positioning Data
