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19 May 2015
Market Movers: NZD top performer in G10 space, DXY unchanged – TDS
FXStreet (Barcelona) - Prashant Newnaha, Strategist at TD Securities, summarizes the market performance during the Asian trading session, noting that NZD outperformed in the G10 FX space as medium-term inflation expectations in New Zealand ticked higher.
Key Quotes
“The DXY is unchanged in Asia following the +1% bounce in the overnight session, spurred on by a 10bps backup in USTs, US equities hitting new highs again with the ongoing Greek debt drama providing a residual USD bid.”
“The NZD has emerged as the G10’s best performer with today’s data showing that medium term inflation expectations picked up, scotching those calling for a rate cut next month. The NZD at US$0.7425, +0.5%, clearly outpaced the #2 CAD 2nd best performer at +0.2% to 1.2133. The AUD is unchanged with the European crosses down 0.1% vs the USD.”
“Regional bond yields are up, taking their cues from the jump in USTs -ACGB 3yrs +5bps, 10tyrs +9bps, NZGB 2yrs +2.5bps and 10yrs +5bps. US equity futures are up a touch, +0.2% and Asian equities on balance are trading firmer.”
“Chinese equities are up 2.75-3%, the NKY +0.9%, another 200 points from reclaiming the highs, but the ASX and Sensex are down 0.3%.”
“Commodities are marginally weaker, gold retesting US$1220, iron ore futures –0.8%, brent –0.2% but copper is +0.2%.”
Key Quotes
“The DXY is unchanged in Asia following the +1% bounce in the overnight session, spurred on by a 10bps backup in USTs, US equities hitting new highs again with the ongoing Greek debt drama providing a residual USD bid.”
“The NZD has emerged as the G10’s best performer with today’s data showing that medium term inflation expectations picked up, scotching those calling for a rate cut next month. The NZD at US$0.7425, +0.5%, clearly outpaced the #2 CAD 2nd best performer at +0.2% to 1.2133. The AUD is unchanged with the European crosses down 0.1% vs the USD.”
“Regional bond yields are up, taking their cues from the jump in USTs -ACGB 3yrs +5bps, 10tyrs +9bps, NZGB 2yrs +2.5bps and 10yrs +5bps. US equity futures are up a touch, +0.2% and Asian equities on balance are trading firmer.”
“Chinese equities are up 2.75-3%, the NKY +0.9%, another 200 points from reclaiming the highs, but the ASX and Sensex are down 0.3%.”
“Commodities are marginally weaker, gold retesting US$1220, iron ore futures –0.8%, brent –0.2% but copper is +0.2%.”