- Fed speakers ahead for Friday, 14 October 2022: George, Cook, Waller
- More on Singapore’s monetary policy tightening today, for the 4th time this year
- More on China’s local governments buying houses to prop up failing developers
- China September CPI 2.8% y/y (expected 2.8%)
- IMF says Japan’s yen intervention last month was likely a “signaling action”
- PBOC sets USD/ CNY reference rate for today at 7.1088 (vs. estimate at 7.1071)
- PBoC Governor Yi says will accelerate implementation of prudent monetary policy
- RBC forecast Fed Funds to 4.5 – 4.75% by early in the new year
- UK Chancellor Kwarteng has cut short his visit to Washington, returning to the UK
- Singapore central bank will re-centre the mid-point of S$NEER band up to prevailing level
- BOJ Gov Kuroda says hiking interest rates in Japan now would be the wrong thing to do
- Japan MoF official does not confirm, or deny, Thursday’s USD/JPY intervention
- Japan finance minister Suzuki comments on the yen – weak verbal intervention
- EU Economic Commissioner Gentiloni: US inflation still rising – tightening is unavoidable
- Report: Twitter says Elon Musk is being investigated by federal authorities
- Moody’s says higher energy costs, slowing growth elevate social, fiscal risk across Europe
- ICYMI – Japanese media report that the lifespan cap on nuclear reactors may be lifted
- New Zealand September manufacturing PMI 52.0 (prior 54.8)
- RBC are forecasting a retest of the recent lows in GBP/USD – in the months ahead
- South Korea terms of trade data (September): Export & import prices higher than expected
- NZ fin min Robertson says New Zealand needs to diversify trade away from China
- ECB quantitative tightening timing was discussed this month already, Q2 2023 floated
- What a day! Major indices reverse sharply to the upside after initial CPI plunge.
- Forexlive Americas FX news wrap: The main event of the week certainly delivered
Rates
and FX have had relatively subdued range sessions after the huge
moves overnight. Regional equities took their lead from the strong
gains in US stocks post CPI.
In
summary, the USD has lost a few points almost across the majors
board. But, as said, ranges were subdued.
The
data focus was on inflation from China. The CPI for September rose to
its highest since April of 2020. It remains well within PBOC target range though and thus leaves the Bank room to stimulate further, if they choose. People’s Bank of China Governor Yi Gang spoke during the session, saying there is more policy support from the Bank ahead.
We had comments from Japan’s finance minister Suzuki. More weak intervention remarks.
UK Chancellor Kwarteng departed early from Washington meetings to return to the UK. Its widely expected he’ll be reversing his disastrous tax cut policy that led to the melt-down in gilts and GBP and the subsequent rescue by the Bank of England.
Singapore’s
central bank, the Monetary Authority of Singapore tightened monetary
policy today for the 4th
time this year. The MAS manage monetary policy through its SGD
exchange rate mechanism, not interest rates. The MAS raised the mid
rate for the SGDNEER today, giving a post to SGD/USD:
more to come
