Market Roundup
- CSI300 Index Futures for July Delivery up 10% Daily Limit.
- Australia May Owner-Occupied Housing Finance -6.1% M/M, S/Adjusted (Poll -3.5%).
- Australia May Value Of Investment Housing Finance -3.2%, S/Adjusted.
- PBOC Sets Yuan Mid-Point at 6.1153 / Dlr Vs Last Close 6.2088.
- Philippines Says May Exports -17.4% from Year Earlier.
- Japan Econmin Amari- Chinese Shares in Adjustment Phase, Hoping They Make Soft Landing in Line With Real State of its Economy.
- Japan June Domestic CGPI -2.4% Yr/Yr --Boj (Reuters Poll: -2.3%).
- Japan June Domestic CGPI -0.2% M/M --Boj (Reuters Poll: 0.0%).
- U.S. Stock Futures Jump 1% after Greek Reform Proposals.
- Greek Reforms Proposal Sets Primary Surplus Target of 1% in 2015, 2% in 2016.
- Greek Reforms Proposal Includes Vat Rate of 23% for Restaurants and Catering.
- Greek Reforms Proposal Sets Vat for Hotels at 13%.
- Greek Reforms Proposal to Eliminate Vat Tax Breaks for Islands by End 2016.
- Greek Reforms Proposal Says Primary Surplus Targets to be looked at Again Because Situation has changed.
- Greek Reforms Proposal to Raise Corporate Tax In 2015.
- Greek Reforms Proposal to Increase Tax on Shipping Companies.
- Greek Reforms Proposal Ekas Benefit to be Gradually Phased Out for all Pensioners by End December 2019.
- Greek Reforms Proposal to Increase Luxury Tax and Implement Tax on TV Adverts Immediately.
- Greek Reforms Proposal says Legislation on a New System of Collective Bargaining to be ready by Q4 2015.
- Greek Reforms Proposal Says Will Facilitate Completion of Tenders for Privatisation of Regional Airports, Trainose, Ports of Piraeus, Thessaloniki and Hellinikon.
- Greek Reforms Proposal says will Announce Binding Bid Dates for Privatizations of Ports No Later than October 2015.
- Greek Reforms Proposal says will Transfer Remaining State Shares in Greek Telecoms Company Ote to the Privatisation Agency.
- Greek Reforms Proposal says will raise the Solidarity Surcharge on Income Tax.
- Greece Reforms Proposal to Cut Defence Spending by 300mln Euros by 2016 End.
- Greece Reforms Proposal says Zero Deficit Clause on Pensions will be Suspended Until Oct 2015 When There will be Pension Reform Legislation.
- Greece Reforms Proposal says to Save 1% of GDP worth of Pension Savings in 2016, Curb Early Retirement.
- Greece says will Seek Funding to Cover Loan Obligations Totaling 53.5bln Euros until the End of June 2018.
Economic Data Ahead
- (0245 ET/0645 GMT) France Industrial Output.
- (0245 ET/0645 GMT) France Current Account.
- (0300 ET/0700 GMT) Slovak Industrial Output.
- (0400 ET/0800 GMT) Norway Producer Price Index.
- (0400 ET/0800 GMT) Norway Consumer Price Index.
- (0400 ET/0800 GMT) Italy Industrial Output.
- (0430 ET/0830 GMT) UK Construction output.
- (0430 ET/0830 GMT) UK Goods Trade Balance.
Key Events Ahead
- N/A Fed's Chair Yellen, Rosengren speak.
FX Recap
EUR/USD is supported below 1.1100 levels and currently trading at 1.1095 levels. It has made intraday high at 1.1103 and low at 1.1028 levels. The Greek government have sent over the new proposals to Brussels and also to the Greek Parliament, which is due to vote on them on Friday. However, it is thought that the new proposals will be a greater sum of money required, some EUR12b and more than the previous EUR8b. So now market await for the European institutions to present their report to the Euro Working Group for the weekend meeting on Saturday which is due to meet on Saturday morning in Brussels. Initial support is seen around at 1.0914 and resistance at 1.1171 levels.
USD/JPY is supported above 121.00 levels and posted a high of 122.02 levels. It has made intraday low at 121.26 and currently trading at 121.75 levels. Despite higher than expected US weekly initial claims numbers, USD-JPY pushed higher on the back of improved risk appetite on Thursday and the pair may remain supported in the interim. Today Japan released consumer confidence data with Flat numbers at 41.7 vs 41.4 previous numbers. Near term resistance is seen at 124.57 and support is seen at 120.63 levels.
GBP/USD is supported below $1.5400 levels. It made an intraday high at 1.5406 and low at 1.5363 levels. Pair is currently trading at 1.5392 levels. Pair is trading in the same range as yesterday. There is no major movement after the Bank of England left policies unchanged in July. Market will eye on ongoing Greece story as well as UK trade balance data for the further movement. Initial support is seen at 1.5256 and resistance is seen around 1.5603 levels.
USDCHF is supported below 0.9500 levels and trading at 0.9464 levels and made intraday low at 0.9458 and high at 0.9489 levels. Pair is trading on flat bias as today is data thin calendar for Switzerland. Market will eye on Greece story and US Fed chair Yellen speech due later in a day for the further direction. Near term support is seen at 0.9341 levels and resistance is seen at 0.9500 levels.
AUD/USD is supported above 0.7400 levels and trading at 0.7472 levels. It has made intraday high at 0.7494 levels and low at 0.7441 levels. Today Australia Investment Lending for Homes declined to -3.2% in May from previous 2.6% while Australia Home Loans came in below expectations (-3.5%) in May: Actual (-6.1%). Initial support is seen at 0.7360 and resistance at 0.7647 levels.
