FX Daily
September 11, 2015 Posted by
The USD has rebounded from overnight lows and most currency pairs are been range bound with little market moving news. Equities are relatively flat with S&P -0.35%, treasury yields -4bps to 2.18% and Crude prices down 3% to $44.30. One pair worth noticing is EURCHF which popped above 1.10 for the first time since SNB scrapped the EUR peg in Jan.  USDJPY stayed sideline and comments from LDP lawmaker Yamamoto that Yen weakness would help Japan’s economy didn’t get much traction like it did on Thur when USDJPY jumped 1 big figure.  GBPUSD slipped marginally on disappointing UK construction data.  USDCNH bounced 300 pts after yesterday’s suspected intervention.  PBOC announced they will change the methodology of calculating Reserve Requirement Ratios effective Sep 15.  They added that it could release liquidity in some situations and boost liquidity when it is lacking. 

Elsewhere, Malaysia, Korea and Russia kept rates on hold as expected.  US PPI (ex food & energy) was flat and preliminary Michigan Sentiment dipped.  We’re still in a blackout period ahead of the FOMC on Sep 17.   This weekend we get Chinese retail sales and industrial production data which could create some ripples and next week we have rates decisions in Thailand, Indonesia and Chile.  

Key Events
• Central Banks in Korea, Malaysia and Russia kept rates on hold as expected
• U. Michigan sentiment plunged to 85.7 in Sep vs 91.1 expected
• U.S. PPI was flat in Aug vs -0.1% forecast
• U.S. budget gap forecast to narrow to-$62.4 bln (med -$84.0 bln) vs -$149.2 bln
• Crude back below $45 after Goldman cut 2015-16 crude price targets
• ECB's Coeure: Eurozone growth too weak to boost job creation sufficiently
• China changes the methodology of calculating RRR

Looking Ahead
09/12 CNY:  Retail Sales and Industrial Production (Aug)
09/14 EUR: German/Spain CPI Reports (Aug)
09/15 EUR:  German Zew Survey
09/15 USD: US Retail Sales
09/15: CLP:  Chile CB decision (no change at 3.00% expected)
09/16 USD:  US CPI & TIC Flows
09/16 THB:  Thailand CB rates decision (no change 1.50% exp)
09/16 IDR:   Bank Indonesia rates decision (no change 7.50% exp)
09/17 USD:  FOMC, C/A, Housing data

FX Indications
EUR 1.1318
JPY 120.5300
GBP 1.5416
CAD 1.3296
AUD 0.7063
NZD 0.6296
CHF 0.9743
SEK 8.2631
ILS 3.8780
INR 66.5450
CNY 6.3751
CNH 6.4125
KRW 1184.7500
BRL 3.8867
MXN 16.8400
RUB 68.102

Stock Indices
Dow          16,289
Nasdaq      4,769
S&P          1,943
TSX          13,442
FTSE         6,128
DAX         10,173
Nikkei       18,264
Shanghai   3,200

Crude 44.31
Gold 1101.09

U.S. Treasuries
2 Year 0.705
3 Year 1.024
5 Year 1.503
10 Year 2.172
30 Year 2.925
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FX Daily
September 10, 2015 Posted by
Volatile markets persists as the USD whipsaws and commodities surges, while most major equities markets are calmer today.
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FX Daily
September 09, 2015 Posted by
The dollar is firmer although volatility remains elevated with global equities rallying.  Markets were off to the races after China’s finance ministry assured that they will adopt “stronger fiscal policies to support growth.”  Stocks in Shanghai climbed 2.3% and Nikkei jumped a whopping 7.7%, the strongest rally since 2008!
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Advisories; Capital Access; Global Edge
September 08, 2015 Posted by
Expanding into global markets can be a significant catalyst for growth. Read about how to develop a trade finance strategy that intelligently manages risk.
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FX Outlook; Global Edge; Startups; Technology; Venture Capital; Asia; Europe; U.S.
September 08, 2015 Posted by
On August 24th, a day that is now being referred to in China as Black Monday, Shanghai's main share index closed down at 8.5 percent, its biggest decline since 2007.

Powerful global reaction. Traders in all financial markets around the world reacted violently to China’s sell-off and seemed to re-focus on what had been three fairly well-established and unsettling concerns: (1) a weakening economy in China; (2) falling oil prices; and (3) uncertainty with interest rate increases by the Fed.

Is the panic over or not? With the U.S. dollar on a roller coaster ride for much of August, many have lost confidence in the dollar’s underlying trend of strength.
U.S. labor data is difficult to forecast. This week’s non-farm number will be the last jobs report before the FOMC meeting (Sept 16-17).
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Capital Access; Life Science; Startups; Venture Capital
September 04, 2015 Posted by
Driven by investor confidence, healthy access to capital, and exit optionality, 2015 will mark the third consecutive year of strong activity for the healthcare sector, according to the mid-year update of Silicon Valley Bank’s Trends in Healthcare Investments and Exits.
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FX Daily
September 04, 2015 Posted by
The highly anticipated U.S. jobs reports was released today with mixed results.  The headline number (new payrolls) was a bit lower than expected, adding 173K jobs in August vs. the anticipated 220K, but July was revised higher, hourly earnings advanced, and the much publicized unemployment rate is now at a 7-year low @ 5.1%.
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FX Outlook; Global Edge
September 03, 2015 Posted by

In the article, “Greece, Then China, Now What for the Fed?” Minh Trang explains how global market events are affecting the Fed decision on a rate hike.

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