Entering into US session, New Zealand and Australian Dollar remain the strongest ones for today. Kiwi was boosted by less dovish than expected RBNZ MPS today. At least, RBNZ suggests that it’s not on track for a rate cut. Meanwhile, Aussie is supported by strong risk appetite based on trade-deal optimism. Trump indicated yesterday that he’s willing to let the March 1 trade truce deadline with Chine slide a little. Treasury Secretary Steven Mnuchin also said talks in Beijing are so far, so good.
Yen remains the weakest one for today, naturally on risk appetite. Euro follows as weighed down by poor industrial production data, then Swiss Franc. Sterling shrugs of weaker than expected inflation reading, with headline CPI dropped to 2-year low in January. Focus will now turn to US CPI.
In Europe, currently:
- FTSE is up 0.57%.
- DAX is up 0.19%.
- CAC is up 0.30%.
- German 10-year yield is down -0.0025 at 0.131. That’s another factor weighing on Euro.
Earlier in Asia:
- Nikkei rose 1.34%.
- Hong Kong HSI rose 1.15%.
- China Shanghai SSE rose 1.84%, reclaimed 2700 handle.
- Singapore Strait Times rose 1.36%.
- Japan 10-year JGB yield rose 0.0051 to -0.005, staying negative.
