Archives of “March 25, 2019” day

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Chinese premier Li says China able to resist downwards pressure on economy

  
Analysis, Economy

Chinese premier Li Keqiang is speaking on state television

He might sound like a broken recorder but when it comes to comments like these, it’s always best to be aware about the frequency and timing of them. The fact that Chinese authorities have been constantly out on the wires delivering this message every couple of days is to remind market participants that they are present and willing to step in to support the economy if need be, especially in times of doubt like what we’re seeing in markets now.

Nikkei 225 falls 3% to close at 20,977.11

  
  Analysis

A torrid session for Asian stocks following negative tones in Wall St on Friday

Nikkei 25-03

Asian equities are carrying over the glum mood seen at the end of last week as global growth fear continues to reverberate into the new week. Worries about a recession saw bonds rally on Friday and we’re seeing a bit more similar tone in stocks to start the week.

Currencies are more calm though, despite US equity futures being 0.4% lower, with USD/JPY recovering off the lows to stay near the 111.00 handle now. Most other major currencies are also rather unchanged against the dollar with Treasury yields staying more calm for the time being.
Let’s see if we’ll get any further continuation of the risk-off tone in the session ahead.

An Update :US Dollar Index ,Euro ,INR ,YEN ,GBP ,CAD ,AUD ,CRUDE ,GOLD ,SILVER ,DJIA ,SPX ,Nasdaq Composite -Anirudh Sethi

  
Analysis, Crude, Forex, Global Indices, Gold / Silver
The Federal Reserve was more dovish than expected, but that did not stop the dollar from appreciating against most of the major currencies last week.  Even the Norwegian krone, which one would have thought would have been better supported following the central bank’s rate hike, closed lower on the week. Among the majors, the yen and Swiss franc were resilient in the face of the dollar’s strength.
The dollar also rose against many of the high-beta emerging market currencies, like the Turkish lira, the South African rand, the Hungarian forint, and Argentina’s peso.   The Mexican peso was an exception.  It had rallied nearly 1.8% until surrendering 2/3 ahead of the weekend, managing to close 0.6% stronger.  The Indian rupee gained for the fifth consecutive week, but the momentum appears to be fading, setting the stage for a near-term pullback.  The Hong Kong Monetary Authority intervened last week to further weakness, and helped by the fall in US yields, saw some success by the end of the week.  The Hong Kong dollar gained 0.03% against the US dollar last week.
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BOJ’s Kuroda: If long-term rates were to rise in the future, pace of rise will be gradual

  
  Analysis

Further comments by Kuroda

JPY yields
I reckon he’s talking about yields here as he mentions that in the context of a rise in long-term rates reflecting economic improvements. The gradual part is mainly saying that the BOJ will be stepping in to prevent unwarranted volatility in the bond market, like what they have done on previous occasions since July last year.
Yup, he just commented again saying that he doesn’t see a scenario in which yields will “shoot up”. Just wanting to let traders/investors know of their presence.

Coming up in US China trade talks, March 28 and April 3 the next dates to watch.

  
  Analysis

And the end of April, that’s the target for pencilling in a trade agreement.

Coming up sooner, though, US Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin will be in Beijing for negotiations, the Chinese side led by Vice-Premier Liu He
  • This is on Thursday 28 March
Chinese officials, led by Liu will the visit the US on 3 April for more talks.
And the end of April, that's the target for pencilling in a trade agreement.Must resist urge to caption pic with Larry, Curly, Moe.
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