News and Information

  The dollar is on track for an eighth straight week of gains, its longest streak of gains since 2005. Traders are expecting the growth in services data to continue, as the dollar tends to rise when reports show expansion and outperform slowing commodity sectors. At 21:45 Beijing time on Wednesday, the United States will release the final Markit services PMI for August. At 22:00, the United States will release the ISM non-manufacturing PMI for August. FX said...

  ATFX FX - Fed Governor Paul Waller said on Tuesday that policymakers can "tread carefully" given recent data showing a sustained slowdown in inflation. In an interview, Waller said the recent data "will allow us to tread cautiously", adding that "there is nothing to suggest that we need to do anything soon, so we can wait for the data and see if things continue on their current trajectory". This could suggest that it will be at the Fed's September meeting...

  The People's Bank of China authorized the China Foreign Exchange Trading Center to announce that on September 6, 2023, the central parity of the RMB exchange rate in the interbank foreign exchange market was 1 US dollar to 7.1969 yuan, 1 euro to 7.8120 yuan, 100 yen to 4.9579 yuan, 1 Hong Kong dollar to 0.91777 yuan, 1 pound to 9.1593 yuan, 1 Australian dollar to 4.6543 yuan, 1 New Zealand dollar to 4 yuan.

  Wall Street mogul Peter Schiff recently explained how U.S. government spending is causing the inflation that Americans are fighting, and how massive spending is bankrupting the country. The Biden administration has been touting its "investments" in infrastructure and other projects. At the same time, ordinary Americans continue to struggle with rising prices. Societe Generale pointed out that the government is not really investing in anything, it is just spending...

  On September 5th, Beijing time, in the morning of Asian market, the US dollar index fluctuated in a narrow range, and is currently trading around 104.17. The safe-haven US index fell on Monday, closing down 0.16% at 104.11. China's policy stimulus or the prospect of stabilizing the economy has improved risk sentiment, while the US employment data is to boost bets that the Federal Reserve may be at the end of the interest rate hike cycle. The Reserve Bank of Australia will hold a policy meeting on Tuesday, and it is expected to stay put. Goldman Sachs said the Bank of Canada suspended...

  The Japanese government will auction key 10- and 30-year bonds this week in another test of demand for Japanese bonds. Japan's finance ministry is scheduled to sell 10-year bonds worth Y2.70 trillion on Tuesday and 30-year bonds worth Y900 billion on Thursday. The offering comes as investors focus on the extent to which the Bank of Japan is willing to let yields rise after adjusting the YCC at the end of July. Traders are looking for signs that domestic yields are high enough to prompt investors to...

  Goldman Sachs Group currently sees a 15% chance of a U.S. recession, down from 20% previously, as inflation cools and the labor market remains resilient, suggesting that the Federal Reserve may not need to raise interest rates further. Goldman Sachs Chief Economist Jan Hatzius said in a research note: "First, real disposable income looks set to re-accelerate in 2024 against the backdrop of continued steady employment growth and rising real wages....

  Hedge funds abandoned their short bets on US regional banks at the end of August in favour of the broader US financial sector, just as bank share prices began to rise, according to a report by Goldman Sachs. US financial services companies, including banks, trading houses and capital markets firms, were the most sought-after stocks in the week to September 1, according to a report by Goldman Sachs' prime brokerage arm, which serves hedge funds. The bank said long and short positions in US regional banks...

  Federal Reserve President Powell may have slept the most soundly last week. US non-farm payrolls and PCE inflation data show that job growth is slowing but still strong, wage growth has fallen to the lowest level in seven months, core PCE inflation has only increased slightly, more workers have entered the job market, and the number of new jobs created is still high but back to the level of 2021. This is properly the rhythm of a soft landing, and Goldilocks in the market are calling again,...

  The People's Bank of China authorized the China Foreign Exchange Trading Center to announce that on September 5, 2023, the central parity rate of the RMB exchange rate in the interbank foreign exchange market was 7.1783 yuan for 1 US dollar, 7.8127 yuan for 1 euro, 4.9629 yuan for 100 yen, 0.91594 yuan for 1 Hong Kong dollar, 9.1538 yuan for 1 pound, 4.6823 yuan for 1 Australian dollar, and 4.6823 yuan for 1 New Zealand dollar.

  Saudi Aramco, the world's biggest oil company by market capitalisation, appears set to begin offering shares again. The kingdom is considering selling up to $50 billion of its stake in Aramco in what would be the largest share sale in the history of capital markets, according to people familiar with the potential deal. After months of negotiations with advisers, the kingdom decided to launch a new share offering on the Riyadh exchange to circumvent its domestic listing, according to Saudi officials and others familiar with the plan.

  In the past week, quantitative investment has once again been pushed to the forefront of the trend. According to the China Fund Daily reporter, the annual turnover rate of the head quantitative private equity is about 40 to 60 times, and the high-frequency volume price strategy accounts for a relatively small proportion. With the increase of quantitative managers and the growth of scale, coupled with the gradual improvement of market effectiveness, excess returns will gradually converge, and quantitative frequency reduction will be the trend of the future development of the industry. At the same time, fundamental quantitative has gradually attracted attention. ATFX - Quantitative frequency reduction is a trend, medium and low frequency...

  Last week, U.S. stocks rebounded from a three-week losing streak. Although Nvidia's earnings report and Federal Reserve Chairperson Powell's speech in Jackson Hole caused some volatility in the market, the artificial intelligence boom offset the adverse impact of rising bond yields. Johan Grahn, chief ETF market strategist at Allianz Investment Management, said: "Powell is in a position where he is trying to reach a peak, but he is not going to climb it all at once...

  This week's US non-farm payrolls report and ISM manufacturing data were mixed, indicating that the US economy is both resilient and cooling. August non-farm payrolls slightly exceeded expectations, unemployment unexpectedly rose, and wage growth also slowed down, but the number of non-farm payrolls in June and July was revised down sharply. The complexity of the data has increased the difficulty of market interpretation. After the non-farm payrolls were released, the US dollar index rebounded after a fresh low and approached a high of more than two months, while gold once turned down and ended up rising for two consecutive weeks. Thanks to Chinese PM...

  FX pointed to gold prices climbing last week, up more than 1.25 percent, as Friday's non-farm payrolls report showed a rise in unemployment and the ISM manufacturing index showed continued weakness in the U.S. industry. The latest Kitco Newsweek Gold survey shows that more than two-thirds of retail investors expect gold prices to rise in the shortened trading week ending September 8. After weeks of caution and disagreement, market analysts are as happy as retail investors...