More on BNZ forecasting a 50bp interest rate cut next week from the RBNZByteDance (TikTok owner) plans new AI model trained with Huawei chipsAustralian dollar a touch higher after better than expected retail sales dataAustralian August retail sales +0.7% m/m (expected +0.4%)BNZ forecast a 50bp interest rate cut from Reserve Bank of New Zealand next weekJapan finance minister Suzuki says forex levels should be determined by marketsUSD/JPY is testing above 144.00 on a cautious BOJ – faces resistance around hereNew Zealand Treasury don’t expect activity to have picked up much in the latest quarterJapan Jibun Bank September Manufacturing PMI (final): 49.7 (prior was 49.8)Japan big manufacturers see USD averaging 144.96 yen for FY2024/25Bank of Japan September meeting ‘Summary of opinions’Bank of Japan tankan report shows firms expect 2.4% inflation a year from howData – Prices in UK shops fell at the fastest pace in more than three years in SeptemberAustralian weekly consumer sentiment survey slipped a little to 82.0 (prior 84.9)Japan August unemployment rate 2.5% vs. 2.6% expectedUS dock worker union rejects latest pay offerLate “ray of hope” in US port strike – deadline looms thoughIsrael announces the start of a ground operation in Southern LebanonAustralian final September manufacturing PMI 46.7 (prior 48.5)Australian August retail sales data due today, expectations are for a rise m/mChief economists in the US say a 2025 recession is only a 30% chanceFederal Reserve Chair Powell leaned against expectations of continuing large rate cutsNew Japanese PM Ishida a positive for yen says abrdnNew Zealand data – Q3 business cnfidence -1% (prior was -44%)Markets in China and Hong Kong are closed today, Tuesday, October 1, 2024 –Forexlive Americas FX news wrap 30 Sep:Fed Powell indicates there should be 2 cuts in 2024Bank of America target EUR/USD to 1.15US equity close: A surge in buying lateTrade ideas thread – Monday, September 30, 2024
Chinese
share markets did not trek towards the moon again today – it was a holiday in both mainland China and Hong Kong, markets were closed.
Chinese markets reopen on Tuesday October 8. It was also a holiday in
South Korea today.
USD/JPY
was a mover, rising above 144.00 in the wake of multiple data points
from Japan:
the
Bank of Japan Tankan report for Q3 showed sings that economy
continues to recoverthe
Bank of Japan ‘Summary of Opinions’ for the September meeting
reiterated that monetary policy makers discussed the need to be
cautious about raising interest rates given concern over volatility
in financial markets, and uncertainty over the US economic outlook.
I pointed out that these concerns were voiced on the day of the
meeting, they are not new newsJapan’s
manufacturing PMI for September remained in contraction for a 3 rd
consecutive month
USD/JPY
encountered resistance above 144.00 and has since fallen back to just
under 143.70. Japan’s finance minister Suzuki said
a few words on intervention efforts during his tenure, providing a
bit of a cap for USD/JPY.
From
New Zealand today we had an improved, but still weak, Quarterly Survey
of Business Opinion (QSBO) from the New Zealand Institute of Economic
Research (NZIER). NZ Treasury released its latest economic update,
also acknowledging weakness and not painting optimism for much
improvement immediately ahead. BNZ issued a forecast for a 50bp rate
cut from the Reserve Bank of New Zealand next week (meeting is
October 9). NZD/USD has lost ground on the session and as I post is
dipping to fresh session lows under 0.6325.
From
Australia, data for retail sales in August showed improvement beyond
estimates, helping AUD/USD to rise above 0.6930 briefly. Its since
drifted back to be little changed on the day.
NZD/USD:
This article was written by Eamonn Sheridan at www.forexlive.com.
