Global Markets:
- Asian stock markets: Nikkei up 0.32 %, Shanghai Composite lost 0.21 %, Hang Seng up 0.42 %, ASX 200 down 0.10 %
- Commodities: Gold at $1290.87 (-0.02 %), Silver at $16.97 (-0.02 %), WTI Oil at $47.73 (-0.21 %), Brent Oil at $51.75 (-0.23 %)
- Rates: US 10-year yield at 2.21, UK 10-year yield at 1.09, German 10-year yield at 0.40
News & Data:
- JPY Flash manufacturing PMI 52.8 vs 52.3 expected
- GBP Public Sector Net Borrowing -0.8 B vs 5.7 B previous
- EUR German ZEW Economic Sentiment 10.0 vs 14.8 expected
- CAD Core Retail Sales m/m 0.7 % vs 0.0 % expected
- CAD Retail Sales m/m 0.1 % vs 0.2 % expected
- North Korea’s Kim orders production of more rocket engines, warhead tips- RTRS
- US president Trump threatens government shutdown over wall funding- FXL
Markets Update:
Asian equity markets steadied on Wednesday as investors continued to add risk positions despite uncertainties about what could emerge from a central banking conclave in Jackson Hole, which begins Thursday.
USDJPY carrying on its rally from US session managed to pop above highs of 109.80. However, it sold of almost immediately losing over 40 points and is currently seen trading around 109.40 handle as the US President Trump spoke at a rally for his supporters in Arizona threatening a government shutdown over the border wall with Mexico
AUDUSD continuing its decline and lost around 0.2 percent, The Aussie is currently seen trading at 78.90 against the US Dollar following the government’s announcement a month before a general election.
EURUSD is seen narrowing as we approach Jackson hole. Euro regained its Asia session earlier highs and is currently trading at 1.1760 against the US Dollar. On the other side, the dollar index against a basket of six major currencies continues to be little changed at 93.522 after rising 0.5 percent the previous day.
Upcoming Events:
- 07:00 GMT – (EUR) ECB President Draghi Speaks
- 07:00 GMT – (EUR) French Flash Manufacturing PMI
- 07:00 GMT – (EUR) French Flash Services PMI
- 07:30 GMT – (EUR) German Flash Manufacturing PMI
- 07:30 GMT – (EUR) German Flash Services PMI
- 08:00 GMT – (EUR) Flash Manufacturing PMI
- 08:00 GMT – (EUR) Flash Services PMI
- 13:05 GMT – (USD) FOMC Member Kaplan Speaks
- 14:00 GMT – (USD) New Home Sales
- 14:30 GMT – (USD) Crude Oil Inventories
