MNI China Daily Summary: Wednesday, July 31

MNI BRIEF: BOJ To Raise Further, No Clues on Timing - Ueda

MNI BRIEF: BOJ's FY26 Inflation View Flat; Upside Risk To FY24, 25 Prices

MNI: PBOC Net Injects CNY185.57 Bln via OMO Wednesday

MNI: PBOC Sets Yuan Parity Lower At 7.1346 Weds; -1.39% Y/Y

MNI BRIEF: China July PMI Contracts For Third Straight Month

Flash Inflation In-Line With Tracking; Services Softens But Only Slightly

MNI: EUROZONE JUL FLASH HICP +2.6% Y/Y

MNI: GERMANY JUL UE RATE (SA) 6.0% (FCST 5.9%); JUN 6.0%

RPT-MNI: Canada Sticks To Fiscal Anchors, Spends Chunk Of Windfall

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

NZDUSD Trades To Fresh 2023 Lows, Pressure On EMFX

FOREX
  • The greenback traded with a consistent upward bias throughout Wednesday’s session, with waning equities prompting haven demand, however, gains for the USD index have been limited to 0.25% as we approach the APAC crossover.
  • Losses for G10 majors were broad based but particular weakness was seen for the likes of the Australian dollar and specifically NZD, which extended Tuesday’s downward momentum following the lower-than-expected inflation data in New Zealand.
  • This prompted NZDUSD to register losses of 0.60% and in the process, the pair has traded to fresh 2023 lows of 0.5851, with not much in the way of short-term meaningful technical support.
  • GBP also shrugged off some post-CPI demand to trade in negative territory as we approach the close. As previously noted, GBPUSD trend conditions remain bearish, and bounces continue to be considered corrective. A continuation lower would refocus attention on support and the bear trigger, at 1.2037, the Oct 4 low.
  • A quick mention for USDJPY, which despite remaining void of any notable volatility, continues to tick higher and narrow the gap once more with 150.00. Market participants have been unable to brush off the rising yields, however, remain wary of both looming verbal and actual intervention from the MOF.
  • Elsewhere the higher long-end US yields and wilting equities induced some substantial weakness for some emerging market currencies. In particular, the Mexican peso declined 1.3% with the likes of PLN and ZAR also declining 1%.
  • Australian employment figures for September headline the overnight docket on Thursday, which will be followed by US jobless claims, Philly Fed and potential comments from Fed Chair Powell, due to speak at the Economic Club of New York Luncheon.
Energy BulletsCommodities
Energy BulletsCommodities

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.