ForexLive Asia-Pacific FX news wrap: RBNZ cuts rates, Japan PM to step down

• US CPI data due Wednesday, the ranges of estimates (& why they’re crucial to know)
• RBNZ Governor Orr: Confident inflation back in its target band
• Japan Kishida: Must promote wage, investment growth for full exit deflation-prone economy
• Market pricing is for an Reserve Bank of New Zealand rate cut at its next meeting too
• ICYMI – RBNZ cut its cash rate by 25bp, market consensus was for on hold
• NZD/USD marked lower after the Reserve Bank of New Zealand cut its cash rate
• Reserve Bank of New Zealand announce cash rate cut to 5.25%
• NZD traders note: After the Reserve Bank of New Zealand today – Governor Orr speaks Friday
• Japanese PM Kishida will not run for reelection in LDP race in September
• PBOC sets USD/ CNY reference rate for today at 7.1415 (vs. estimate at 7.1493)
• Federal Reserve speakers on Wednesday, August 14 include Musalem and Harker
• Reserve Bank of New Zealand decision due soon. Which will it be, a dovish hold or a cut?
• Nomura says FOMC focused on bolstering the US economy … “inflation less important”
• Economists expectations for the critical US July CPI data revealed
• Japan – Reuters Tankan report for August: Manufacturing sentiment 10, from 11 in July
• Blackstone sees signs of slowing US economy, Fed cut would “soften this blow”
• AUD traders, here’s what’s really happening with the Reserve Bank Australia. Nov meet live
• Goldman Sachs says signs of slowdown in Europe, China, & slower jobs growth in US
• Reserve Bank of New Zealand meet today – BNZ calls for an immediate rate cut
• Forexlive Americas FX news wrap 13 Aug: Tame US PPI spurs on dollar selling/stock buying
• Oil – private survey of inventory shows a larger headline crude oil draw than was expected
• It is a solid day for US indices. Indices close the day near highs with PPI the catalyst.
• Trade ideas thread – Wednesday, 14 August, insightful charts, technical analysis, ideas

NZD/USD
fell on the announcement from the Reserve Bank of New Zealand that it
was cutting its Official Cash Rate (OCR) by 25bp. While markets had
largely priced the cut in, the consensus amongst analysts was for an
on hold decision. NZD/USD fell further during RBNZ Governor Orr’s
press conference. Orr said a 50bp rate cut was considered. He also
said there would be further normalising of rates to come as inflation is dropping.

USD/JPY
fell on the session also. It began its drop as news crossed that
Japanese
Prime Minister Kishida will not seek re-election as head of his
party, meaning the end of his premiership after just under three
years. In
effect, Kishida will be resigning in September. As
Kishida conducted his press conference an hour or after the news
broke USD/JPY fell further. The range on the session was a decent
147.18 down to 146.08.

This article was written by Eamonn Sheridan at www.forexlive.com.