General Trend:
- Little news seen in the RBA’s policy statement
- Fast Retailing is expected to report Aug sales after the close
- Australia Q2 GDP due for release on Wed
Headlines/Economic Data
Australia/New Zealand
- ASX 200 opened -0.2%
- ASX 200 Telecom index +0.1%, REIT +0.1%; Energy -1.2%, Financials -0.9%, Utilities -0.7%, Consumer Discretionary -0.2%, Resources -0.2%
- (AU) RESERVE BANK OF AUSTRALIA (RBA) LEAVES RATES UNCHANGED AT 1.50% (AS EXPECTED); In the first half of 2018, the economy is estimated to have grown at an above-trend rate.
- (AU) AUSTRALIA Q2 BOP CURRENT ACCOUNT BALANCE: -A$13.5B V –A$11.0BE; NET EXPORTS OF GDP: 0.1 V 0.1E
- (NZ) New Zealand Commission will not consider deregulating mobile roaming
China/Hong Kong
- Shanghai Composite opened flat, Hang Seng -0.3%
- Hang Seng Info Tech index +1.3%, Services +0.3%, Telecom +0.2%; Consumer Goods -0.3%, Financials -0.3%, Energy -0.2%, Property/Construction -0.1%
- (CN) China PBoC set yuan reference rate: 6.8183 v 6.8347 prior
- (CN) China PBoC Open Market Operation (OMO): Skips OMO (10th straight skip)
- (CN) China said to make revisions to the repayment rules for local government bonds, to raise the limits for commercial banks investments in local gov’t bonds – Chinese Press
- (HK) Hong Kong may consider additional curbs on home purchases – HK Press
Japan
- Nikkei 225 opened +0.1%
- TOPIX Iron & Steel index -0.3%, Marine Transportation -0.1%; Securities +0.8%, Electric Appliances +0.2%, Real Estate +0.2%, Retail Trade flat
- (JP) BoJ announcement related to daily bond buying operation; Increases daily purchases of 1-3 and 3-5 year JGBs
- (JP) Japan Aug Monetary Base End of Period: ¥502T v ¥501.7Te; Y/Y: 6.9% v 7.0% prior
- (JP) Japan Finance Min Aso: Initial budget request for FY19 is likely around ¥102T (as speculated); Reiterates need to think about getting companies to use cash stores
- (JP) Japan FSA said to consider probe into the real estate loans of regional banks- Japanese Press
Korea
- Kospi opened +0.1%
- (KR) South Korea Q2 Final GDP Q/Q: 0.6% v 0.7%e; Y/Y: 2.8% v 2.9%e
- (KR) South Korea Aug CPI M/M: 0.5% v 0.4%e; Y/Y: 1.4% v 1.4%e
- (KR) Fitch: South Korea budget might add to long-term challenges
North America
- (US) National Hurricane Center (NHC): Tropical Storm Gordon is strengthening as it moves away from Florida, expected to be a hurricane when it makes landfall
- Anadarko Petroleum: Shut oil and gas production at two platforms in the Gulf of Mexico due to the approach of Tropical Storm Gordon – financial press
- (AR) Argentina Fin Min Dujovne: Sets 2018 Primary fiscal deficit target to GDP of 2.6%; seek to balance budget in 2020; To impose temporary tax on exports through Dec 2020
Europe
- (UK) UK Chancellor of the Exchequer Hammond (Fin Min) may unveil the budget by as early as Oct – UK Press
- (UK) UK Aug BRC Life-For-Like Sales Y/Y: 0.2% v 0.5% prior (weakest reading since April)
- (UK) FTSE100 Quarterly Review is expected on Wed (Sept 5th), no changes are expected to the index – US financial press
- (EU) ECB Weidmann (Germany) said the digital revolution only has a small impact on inflation – financial press
Levels as of 01:30ET
- Nikkei 225, -0.2%, ASX 200 +0.1%, Hang Seng +0.1%; Shanghai Composite -0.1%; Kospi +0.3%
- Equity Futures: S&P500 +0.2%; Nasdaq100 +0.2%, Dax flat; FTSE100 +0.1%
- EUR 1.1625-1.1594 ; JPY 111.17-110.89 ; AUD 0.7216-0.7186 ;NZD 0.6607-0.6586
- Aug Gold -0.1% at $1,205/oz; Sept Crude Oil +0.3% at $70.04/brl; Sept Copper flat at $2.656 /lb
