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20 Nov 2014
China HSBC PMI, RBA FX transactions eyed - RBS
FXStreet (Bali) - The HSBC preliminary November manufacturing PMI in China and RBA FX transactions data are the key events to watch for in Asia.
Key Quotes
"In APAC, the HSBC preliminary November manufacturing PMI in China will give an early look at November manufacturing momentum."
"The RBA also releases FX transactions data, which may take on greater importance after RBA Governor Stevens jawboned the currency in a speech overnight, noting he sees a “pretty material risk” that the currency will decline further."
"The FX transactions data each month normally is close to 0, indicating no net growth or reduction of FX reserves – i.e. the RBA’s FX market actions were merely to offset FX demand by the government and other organizations."
"However, should “market” FX purchases largely outweigh the “government” and “other” AUD sales, it would indicate the RBA became more active in FX intervention."
Key Quotes
"In APAC, the HSBC preliminary November manufacturing PMI in China will give an early look at November manufacturing momentum."
"The RBA also releases FX transactions data, which may take on greater importance after RBA Governor Stevens jawboned the currency in a speech overnight, noting he sees a “pretty material risk” that the currency will decline further."
"The FX transactions data each month normally is close to 0, indicating no net growth or reduction of FX reserves – i.e. the RBA’s FX market actions were merely to offset FX demand by the government and other organizations."
"However, should “market” FX purchases largely outweigh the “government” and “other” AUD sales, it would indicate the RBA became more active in FX intervention."