SA

ForexLive Asia FX news wrap: Trump, Clinton, Aussie economy big winners today

Performance Chart

Forex news for Asia trading Wednesday 2 March 2016

Australian Q4 GDP:

US Presidential Primaries (as of updating, via Google):

Republican:

Democrat:

EUR/USD popped toward 1.0880 early in Tokyo but has since drifted down to a new session lows, off to under 1.0860 as I update. A similarly quiet range for cable, it meandered around 1.3955/60 odd, while USD/CHF has fared a little more actively, from sub 0.9960 to approach 0.9990 as of writing.

The yen has shown a bit more life, USD/JPY 133.75/114.15 pretty much containing it though.

NZD/USD popped to 0.6660 during the day but has settled around 0.6630 and surrounds as of the past hours.

Gold lost some ground to 1225 and is just above there as of now. Oil dropped on the API data during late US trade but follow through lower has been minimal.

And that's enough of that, time to let y'all know what really happened today.

Attention turned to Australian Q4 GDP data. Long story short, it blew away expectations for a strong beat and the AUD jumped. AUD/USD from lows under 0.7160 to above 0.7225, where its nestles as I update.

More detail, you ask? here's a summary via CommSec, more in the bullets, above.

  • +0.6% q/q ( SA ) vs +0.4% expected and +3.0% y/y vs +2.5% expected
  • The prior quarter was revised higher
  • Annualised growth over the past six months is at 3.4%
  • The biggest contributions to growth:
  • Household consumption expenditure (+0.4 percentage points)
  • Public investment and inventories (each are up +0.2pp)
  • Government consumption (+0.1pp)
  • Machinery & equipment investment (+0.1pp)
  • Dwelling investment ( +0.1pp)
  • Drags:
  • Non-residential building (-0.5 pp)
  • Income growth was flat
  • Real gross national income rose by 0.1% in Q4, down 0.2% per cent on the year

Regional equities had a solid day following the gains overnight.

  • Nikkei had a monster gain: +4.31%
  • Shanghai no slouch at +2.25%
  • HK +2.59%
  • ASX +2.22%

More:

  • US Primary results from 'Super Tuesday' continue to come in, showing on the Republican side solid wins for Trump, and on the Democrat side, Clinton trumping (sorry) Sanders overall. See graphics above for the current state of play
  • South Korea's industrial output dropped more than estimated in January

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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