Federal Reserve speakers Wednesday include Barkin, Hammack, Musalem and BowmanANZ say the path of least resistance for the RBNZ is a 50bp interest rate cut next weekJapan’s Eco Min says not necessarily correct that Ishiba positive about further rate hikesMainland China is on holiday, leaves Hong Kong to ramp shares even higherSouth Korea promises bold, immediate measures if market volatility execessiveExplosion reported at Japanese airportBrent crude oil is back near US$74.50Walz and Vance were asked to address economic issues – vacuous garbageWill the Walz vs. Vance debate has financial market impact?ICYMI – J.P. Morgan Global Manufacturing PMI signals contraction for 3rd consecutive monthGoldman Sachs flag hits to GDP, NFP from US east coast port strikeSouth Korean September consumer price index marks slowest rise y/y since February 2021North Carolina mining town crucial to the semiconductor industry. Helene just wrecked it.FX option expiries for 2 October 10am New York cutWall Street Journal: “Investors Gear Up for October ECB Rate Cut”HSBC expect a 50bp interest rate cut from the Reserve Bank of New Zealand next weekTune in for the Vance vs. Walz debate at 2100 US Eastern time (0100 GMT)Trump has pulled out of an interview with 60 minutesHere is another forecast for a 50bp interest rate cut from the RBNZ next weekUS east coast port strikes haven’t had any direct impact on the West Coast, eg. Port of LAUBS forecast gold to USD2900Oil – private survey of inventory shows a headline crude oil drawChina is on holidays – Goldman Sachs take the opportunity to shrug off all the stimulusForexlive Americas FX news wrap: Iran hits Israel with missile attackMajor US indices close sharply lower as geopolitical concerns weighTrade ideas thread – Wednesday, 2 October, insightful charts, technical analysis, ideas
There
was no data of significance from the session today, and little news
of note.
We
did have the US vice President debate, but this passed with little
more than partisan bickering. The secret to these debates is to
approach them with very, very low expectations for anything of
substance; avoid disappointment. On the positive side the two were
polite to each other, mainly.
NZD/USD
was a mover on the session. We had ongoing forecasts of a 50bp rate
cut to come from the Reserve Bank of New Zealand at their meeting on
October 9. There was little else from NZ.
USD/JPY
traded higher. Japan has a new Economy Minister, Ryosei Akazawa, who
made the noob mistake of speaking honestly. Don’t be too concerned,
this will pass. Akazawa dialled back support for ongoing Bank of
Japan rate hikes with comments such as:
it’s
not necessarily true that Prime Minister Shigeru Ishiba is positive
about further interest rate hikes by the Bank”Our
top priority is to ensure that Japan completely exit from deflation”
exiting
deflation would take some time”Ishiba’s
(previous) comments on the need for monetary policy normalization
have various conditions attached”
These
are obviously
yen negative comments, at the margin, and the currency has lost ground
today.
Mainland China remained closed for holidays. Hong Kong was open and stocks there skyrocketed yet again.
This article was written by Eamonn Sheridan at www.forexlive.com.
