The US tax reform optimism induced risk-on moods extended into Asia, pushing the Treasury yields higher alongside the Asian equities. However, the US dollar failed to extend its Friday’s recovery and somewhat stabilized, as the NZD bulls benefited the most from it. The Kiwi ignored mixed NZ services PMI and consumer confidence data, as the unwinding of shorts continued heading into the NZ Q4 GDP release due later this week. The Aussie traded with mild gains on the back of slightly upbeat Australia’s Mid-Year Economic and Fiscal Outlook (MYEFO) and the recent rally in copper prices. Meanwhile, the Yen remained bettered offered, despite surging Japanese exports and trade surplus.
Main topics in Asia
CME officially launches Bitcoin futures trading
The waiting is over, with Bitcoin futures now officially trading on the Chicago Mercantile Exchange.
Japanese exports grew for a 12th straight month in November
Japanese exports rose for a twelfth straight month in November on the back of buoyant overseas demand and the confidence among nation’s biggest manufacturers is at an 11-year high.
Australia MYEFO: Real GDP growth to rise as the drag from mining investment diminishes
Australia Mid-Year Economic and Fiscal Outlook (MYEFO) released today says the real GDP is seen rising as the drag from the mining investment diminishes.
PBOC raises 14-day reverse repo rate by 5 bps to 2.65%
Having raised the MLF, SLF and reverse repurchase agreements last week in a surprise move after Fed, the Chinese central bank (PBOC) raised interest rates on RR, used for open market operations by 5 basis points for the 14-day tenor on Monday.
Aus Treasurer Morrison: No real pressure on cash rate to slow housing market
Reuters reports the latest comments from the Australian treasurer Scott Morrison, speaking in a BTV interview.
Key Focus ahead
The European calendar remains data-light, as we kick-off a brand new week, with the only final CPI data to be reported ahead of the German Bundesbank monthly economic report. Meanwhile, the UK docket will see the release of the CBI industrial order expectations numbers. The NA session also sees a quiet start to a big week ahead, with the Canadian foreign securities purchases and US NAHB Housing Market Index data to be released.
EUR/USD bounces in Asia, eyes EZ CPI, US tax vote for fresh impetus
Fresh bids emerged for the EUR/USD pair near 1.1740 levels in early trades, which prompted a bounce back above the 50-DMA support-turned-resistance at 1.1750, as the bulls fight back control kicking-off a brand new week.
GBP/USD - Yield differential favors USD, bull flag on charts
GBP/USD fell sharply on Friday from 1.3448 to 1.3301 as US tax optimism strengthened the bid tone around the US dollar.
This week's key data in the US and Europe - ING
ING’s view on this week’s key data and events in the United States and the Eurozone can be found below, with the team concluding that as policy stands, they look for three 25bp interest rate increases by the Fed in 2018.
What to expect from this week's US economic data? - Nomura
The Economics Team at Nomura expects the US data over the next several weeks, including the present one, to highlight continued momentum in economic growth to close out 2017.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks

GBP/USD holds higher ground above 1.3400 ahead of UK inflation data
GBP/USD is holding higher ground above 1.3400 in Wednesday's early European morning, helped by the bearish undertone in the US Dollar. Traders continue to assess trade and economic uncertainties ahead of key UK CPI inflation data.

EUR/USD advances further toward 1.1350 on intense US Dollar weakness
EUR/USD is holding firm, eyeing 1.1350 early Wednesday on the back of a sharp sell-off in the US Dollar. Renewed trade jitters, along with fresh concerns about the US fiscal health, add further pressure on the Greenback. The focus now is on the ECB and Fed-speak.

Gold price awaits acceptance above $3,300 as buyers return
Gold price is extending its upswing into the third consecutive day in Asian trading on Wednesday. Buyers look to regain the $3,300 on a sustained basis amid persistent US Dollar weakness and heightened geopolitical tensions.

Dogecoin and Shiba Inu Price Forecast: DOGE and SHIB show early signs of a bullish breakout
Dogecoin (DOGE) and Shiba Inu (SHIB) show early signs of a potential rally as both meme coins stabilize at key support levels. On-chain metrics for dog-themed meme coins show positive funding rates and dormant activity, reinforcing bullish sentiment. The technical outlook also supports the case for double-digit gains.

China April slowdown shows the impact of economic uncertainty
Trade war uncertainty is denting Chinese confidence, resulting in slower economic activity in April. Retail sales and fixed-asset investment both underperformed forecasts amid heightened caution. Yet the impact on manufacturing was less than feared.