ForexLive Asia FX news wrap: China GDP expanded in 2020
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Forex news for Asia trading
for Monday
18
January 2021
The
early hours of the new week here in Asia were sedate but livened up
for a while once Globex opened. US equity index futures dropped away
a little and this was soon followed by USD strength across the board
for major currencies. In
other developments during the Asian morning news
crossed that Canadian media was reporting incoming US President Joe
Biden would cancel the Keystone XL pipeline project. CAD,
predictably, weakened on the news. USD/CAD
remains near the top of its range for the session as I update.
USD/JPY
had notable swings, trading to highs above 103.90 (but shy of 104.00)
with
the early US dollar strength but has since fallen back to under
103.70 briefly – its just above there as I post.
AUD
and NZD join CAD on the weaker side of the ledger for the day. EUR,
GBP and CHF are all lower also but have been a little more resilient.
Yen has gained against the USD on the session.
Data
today – the focus was China. Q4 GDP confirmed China has a positive
year for economic growth, all other major economies around the globe
have contracted. Biden
has work to do if he wants a reset with China. Activity
data for December shows a continued recovery for the factory sector –
consumption continues to struggle though (the consumer is still on
the weak side).
CAD has not shown much recovery as I post:
