Asian Markets Subdued, Central Bank Speakers Set To Dominate
- Asian stocks drifted as investors looked ahead to a busy global session
- The US Dollar was generally firm, while its New Zealand Cousin took some heat
- Unusually, all the major central bank heads are due to speak within hours
Asian stocks lacked vigour Tuesday as Chinese economic numbers missed the mark and the US yield curve flattened.
Chinese retail sales and industrial output actually grew quite strongly in October but still came in below market forecasts. While investors chewed these over the Nikkei 225 ended flat with most other major bourses in the red, if not by much.
In the currency markets Sterling nursed losses as a crucial Brexit debate looms in the UK Parliament. The New Zealand Dollar slipped for no very obvious reason although some market watchers reckon that selling against the Australian unit may be to blame, in the wake of Tuesday’s strong business-confidence data out of Canberra. The US Dollar got some support from higher two-year Treasury yields even if some wondered whether or not they might presage some economic slowdown stateside.
There are plentiful heavyweight economic data still to come Tuesday. Official German, Italian and Eurozone growth figures are in the mix, along with UK inflation numbers, Germany’s ZEW survey and US producer prices. You want central bank speakers? Tuesday has them. No fewer than thirteen big names are on tap as Euro Finance Week gets under way. The list includes the head of the US, Eurozone, Japanese and British monetary authorities.
--- Written by David Cottle, DailyFX Research
Contact and follow David on Twitter:@DavidCottleFX
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.