Global Markets:
- Asian stock markets: Nikkei down 0.90 %, Shanghai Composite gained 0.10 %, Hang Seng rose 0.05 %, ASX 200 lost 0.95 %
- Commodities: Gold at $1216 (-0.05 %), Silver at $16.00 (+0.05 %), WTI Oil at $48.65 (-0.90 %), Brent Oil at $49.40 (-1.00 %)
- Rates: US 10 year yield at 1.85, UK 10 year yield at 1.43, German 10 year yield at 0.14
News & Data:
- Australia GDP (QoQ) (Q1): +1.10% (est 0.80%, prev rev to +0.70% from 0.60%)
- Australia GDP (YoY) (Q1): +3.10% (est 2.80%, prev rev to +2.90% from 3.00%)
- Australia GDP Final Consumption (Q1): +0.7% (prev 0.7%)
- Australia Capex -1.70% (prev rev to -0.2% from -0.6%)
- China Caixin Manufacturing PMI (May): 49.2 (est 49.2, prev 49.4)
- China Manufacturing PMI (May): 50.1 (est 50, prev 50.1)
- China Non-Manufacturing PMI (May): 53.1 (prev 53.5) –BBG
- Japan Manufacturing PMI (May F): 47.7 (flash 47.6, prev 48.2)
- Japan Capex (YoY) (Q1): 4.20% (est 2.40%, prev 8.50%)
- Japan Company Profits (YoY) (Q1): -9.30% (prev -1.70%)
- Japan Company Sales (YoY) (Q1): -3.30% (prev -2.70%)
- Australia AIG Manufacturing Index (May): 51.0 (prev 53.4)
- UK BRC Shop Price Index (YoY): -1.80% (prev -1.70%)
- New Zealand Terms of Trade (Q1): +4.40% (est -0.20%, prev -2.0%)
- New Zealand QV House Prices YoY (May): 12.40% (prev 12.0%)
- South Korea CPI (MoM) (May): 0.0% (est 0.20%, prev 0.10%)
- South Korea CPI (YoY): 0.80% (est 0.90%, prev 1.00%)
- South Korea Trade Balance (USD) (May): 7.082bn (est 9.64B, prev 8.82B)
- South Korea Exports (YoY) (May): -6.0% (est -0.40%, prev -11.20%)
- South Korea Imports (YoY) (May): -9.30% (est -9.70%, prev -14.90%)
- PBOC fixes yuan at 6.5889 (prev fix 6.579, prev close 6.5783)
- China GDP growth in 2016 may be around 6.70% –Sec Journal
Markets Update:
The Australian Dollar rallied after better than expected GDP data. AUD/USD rose from 0.7240 to a high of 0.73, while AUD/NZD jumped from 1.0660 to 1.0740. AUD/USD technicals have turned bullish, with the double bottom pattern at 0.7145 confirmed. Resistance is seen at 0.7330, while support now lies at 0.7220 and 0.7180.
The New Zealand Dollar continues to be bid as well, with NZD/USD breaking above 0.68 overnight. Resistance is now seen at 0.6840. USD/CAD fell from 1.3135 to 1.3050 overnight, despite the decline in oil prices.
EUR/USD was quiet as usual, trading in a 1.1115-35 range. GBP/USD saw high volatility yesterday, but calmed down in Asia and consolidated between 1.4460 and 1.45.
USD/JPY came under pressure in the early session and fell to a low of 110.40, but i t was able to bounce from there and rose back to 110.70.
Upcoming Events:
- 06:45 BST – Swiss GDP
- 08:15 BST – Swiss Retail Sales
- 08:45 BST – Italian Manufacturing PMI
- 08:50 BST – French Manufacturing PMI
- 08:55 BST – German Manufacturing PMI
- 09:00 BST – Euro Zone Manufacturing PMI
- 09:30 BST – UK Manufacturing PMI
- 14:45 BST – US Manufacturing PMI
- 15:00 BST – US ISM Manufacturing PMI
- 21:35 BST – US API Weekly Crude Oil Stock
