FX & Stock market snapshots as of [08/08/2019 0610 GMT]
- After a higher fixing on the onshore USD/CNY at 7.0039 in today’s early Asian session by PBOC, up from the yesterday’s fix at 6.9996; the offshore USD/CNH has started to drift down by 398 pips from its intraday high of 7.10332 to print a low of 7.0634.
- A lower USD/CNH has managed to add a “smoothing effect” on the on-going trade tensions between U.S. and China where risk sensitive currencies such as the AUD/USD has managed to increase its gains from yesterday overnight U.S. session and make it the top performer in today’s Asia mid-session.
- Ahead of the European opening session, most Asian stocks have started to show signs of stabilisation from this Mon’s steep losses with several positive trade related news flows.
- China’s exports for Jul has managed to beat expectations with a growth rate of 3.3% y/y that surpassed significantly over a consensus reading of -2.0% y/y.
- Also, the on-going trade dispute between Japan and South Korea has started to show signs of easing where Japan granted approval for a high-tech export to South Korea for the first time since stricter curbs took effect in Jul.
- The S&P E-mini futures has inched up higher by 0.50% to print a current intraday high of 2895 in today’s Asian session. In addition, European stock indices CFD futures are gaining as well with the German DAX and FTSE 100 up by 1.15% and 0.45% respectively.
*Data from Refinitiv. Index names may not reflect tradable instruments and not all markets are available in all regions.
StoneX Financial Ltd (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.
No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.