{"id":13429,"date":"2015-06-02T04:52:41","date_gmt":"2015-06-02T04:52:41","guid":{"rendered":"http:\/\/www.icmarkets.com\/blog\/?p=13429"},"modified":"2015-06-02T04:52:41","modified_gmt":"2015-06-02T04:52:41","slug":"tuesday-2nd-june-european-open-briefing","status":"publish","type":"post","link":"https:\/\/ic-cn-asia.com\/blog\/tuesday-2nd-june-european-open-briefing\/","title":{"rendered":"Tuesday 2nd June: European Open Briefing"},"content":{"rendered":"<p>\n\t<strong>Global Markets:<\/strong>\n<\/p>\n<ul>\n<li>\n\t\tAsian stock markets: Nikkei down 0.25 %, Shanghai Composite lost 0.05 %, Hang Seng fell 0.50 %, ASX declined 1.00 %\n\t<\/li>\n<li>\n\t\tCommodities: Gold at $1188 (-0.05 %), Silver at $16.71 (+0.20 %), WTI Oil at $60.25 (+0.05 %), Brent Oil at $64.85 (-0.20 %)\n\t<\/li>\n<li>\n\t\tRates: US 10 year yield at 2.19, UK 10 year yield at 1.86, German 10 year yield at 0.43\n\t<\/li>\n<\/ul>\n<p>\n\t<strong>News &amp; Data:<\/strong>\n<\/p>\n<ul>\n<li>\n\t\tReserve Bank of Australia (RBA) leaves cash rate unchanged at 2.0 %\n\t<\/li>\n<li>\n\t\tRBA: Lower AUD needed\n\t<\/li>\n<li>\n\t\tRBA: Judged policy appropriate for time being\n\t<\/li>\n<li>\n\t\tRBA: Public spending seen subdued\n\t<\/li>\n<li>\n\t\tRBA: Economy growing below long-term average\n\t<\/li>\n<li>\n\t\tRBA: A key drag on private demand is weak business CapEx\n\t<\/li>\n<li>\n\t\tRBA: Monetary policy needs to be accommodative\n\t<\/li>\n<li>\n\t\tAustralia Current Account -A$10.7bln, Expected: -A$10.8bln, Previous: -A$10.2bln\n\t<\/li>\n<li>\n\t\tJapan Average Earnings 0.9 % y\/y, Expected: 0.4 %, Previous: 0.0 %\n\t<\/li>\n<li>\n\t\tJapan Monetary Base 35.6 % y\/y, Previous: 35.2 %\n\t<\/li>\n<li>\n\t\tBoJ Governor Kuroda: Will not comment on FX level or speed of move\n\t<\/li>\n<li>\n\t\tJapan FinMin Aso: Will carefully watch FX movements, declines to comment on JPY directly: BBG\n\t<\/li>\n<\/ul>\n<p>\n\t<strong>Markets Update:<\/strong>\n<\/p>\n<p>\n\tThe RBA left the cash rate unchanged overnight, at 2.00 %. While they didn&rsquo;t cut rates, they maintained their overall dovish stance, saying that growth remains below the long-term average and that monetary policy will stay accommodative. The central bank also included the usual comment, that a lower AUD exchange rate is needed. The reaction in the FX market has been mixed. AUD\/USD rallied initially as some were expecting a rate cut today, but stopped at 0.7662 so far. We could see some further short covering in AUD in&nbsp; the later trading sessions, with the key resistance levels now being 0.7670\/75 and 0.7745\/50.\n<\/p>\n<p>\n\tIn the other major pairs, trading was rather quiet overnight given the lack of data\/news. USD\/JPY briefly traded above 125.00, but quickly retraced back to 124.70. However, the pair remains still very bid and while the move looks stretched in the short-term, it is tough to fight such a strong trend. Meanwhile, price action in EUR\/USD remains quite choppy, partly due to the Greece headlines every day. It is likely we&rsquo;ll see the pair trading in a 1.0850-1.10 ahead of the ECB meeting on Wednesday.<a name=\"_GoBack\"><\/a>\n<\/p>\n<p>\n\t<strong>Upcoming Events:<\/strong>\n<\/p>\n<ul>\n<li>\n\t\t08:00 BST &#8211; Spanish Unemployment Change\n\t<\/li>\n<li>\n\t\t08:55 BST &#8211; German Unemployment Change\n\t<\/li>\n<li>\n\t\t08:55 BST &#8211; German Unemployment Rate\n\t<\/li>\n<li>\n\t\t09:30 BST &#8211; UK Construction PMI\n\t<\/li>\n<li>\n\t\t10:00 BST &#8211; Euro Zone CPI &amp; Core CPI\n\t<\/li>\n<\/ul>\n<ul>\n<li>\n\t\t15:00 BST &#8211; US Factory Orders\n\t<\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>Global Markets: Asian stock markets: Nikkei down 0.25 %, Shanghai Composite lost 0.05 %, Hang Seng fell 0.50 %, ASX declined 1.00 % Commodities: Gold at $1188 (-0.05 %), Silver at $16.71 (+0.20 %), WTI Oil at $60.25 (+0.05 %), Brent Oil at $64.85 (-0.20 %) Rates: US 10 year yield at 2.19, UK 10 &hellip; <a href=\"https:\/\/ic-cn-asia.com\/blog\/tuesday-2nd-june-european-open-briefing\/\" class=\"more-link\">Continue reading <span class=\"screen-reader-text\">Tuesday 2nd June: European Open Briefing<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":12469,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-13429","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-uncategorized"],"_links":{"self":[{"href":"https:\/\/ic-cn-asia.com\/blog\/wp-json\/wp\/v2\/posts\/13429","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/ic-cn-asia.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/ic-cn-asia.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/ic-cn-asia.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/ic-cn-asia.com\/blog\/wp-json\/wp\/v2\/comments?post=13429"}],"version-history":[{"count":1,"href":"https:\/\/ic-cn-asia.com\/blog\/wp-json\/wp\/v2\/posts\/13429\/revisions"}],"predecessor-version":[{"id":13430,"href":"https:\/\/ic-cn-asia.com\/blog\/wp-json\/wp\/v2\/posts\/13429\/revisions\/13430"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/ic-cn-asia.com\/blog\/wp-json\/wp\/v2\/media\/12469"}],"wp:attachment":[{"href":"https:\/\/ic-cn-asia.com\/blog\/wp-json\/wp\/v2\/media?parent=13429"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/ic-cn-asia.com\/blog\/wp-json\/wp\/v2\/categories?post=13429"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/ic-cn-asia.com\/blog\/wp-json\/wp\/v2\/tags?post=13429"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}