23 Jun 2014
PMI in China is boosting riskier assets - Societe Generale
FXStreet (Barcelona) - Better risk sentiment prevails after positive Chinese HSBC PMI, commented Kit Juckes, Global Head of Currency Strategy at Societe Generale.
Key Quotes
"A stronger HSBC Chinese PMI release is boosting risk sentiment and higher-yielding currencies are finding support as a result. The front pages of the newspapers offer no hope of the Iraqi crisis ending any time soon, but markets are trying hard to focus elsewhere."
"CAD, AUD and NZD are leading the charge for G10-FX, RUB is doing even better. CAD's move is the striking one, having started with CPI and retail sales Friday and caught me, at least, napping."
"last week's CFTC data show a small fall in CAD shorts, a fall that will have continued in the week up top tomorrow, but all the other 'risk-on' currencies in the CFTC data are longs (AUD, NZD, GBP, MXN). There's room for the squeeze to go further, methinks. CAD/JPY and short AUD/CAD are both trades that appeal on a short-term very tactical basis."
Key Quotes
"A stronger HSBC Chinese PMI release is boosting risk sentiment and higher-yielding currencies are finding support as a result. The front pages of the newspapers offer no hope of the Iraqi crisis ending any time soon, but markets are trying hard to focus elsewhere."
"CAD, AUD and NZD are leading the charge for G10-FX, RUB is doing even better. CAD's move is the striking one, having started with CPI and retail sales Friday and caught me, at least, napping."
"last week's CFTC data show a small fall in CAD shorts, a fall that will have continued in the week up top tomorrow, but all the other 'risk-on' currencies in the CFTC data are longs (AUD, NZD, GBP, MXN). There's room for the squeeze to go further, methinks. CAD/JPY and short AUD/CAD are both trades that appeal on a short-term very tactical basis."