ForexLive Asia-Pacific FX news wrap: Subdued ranges heading into the US market holiday

<ul><li><a href="https://www.forexlive.com/news/barclays-slashed-their-brent-crude-oil-price-forecast-by-8-a-barrel-20240115/">Barclays slashed their Brent Crude oil price forecast by $8 a barrel</a></li><li><a href="https://www.forexlive.com/centralbank/wsj-survey-of-economists-indicates-that-the-probability-of-a-us-recession-is-down-sharply-20240115/">WSJ survey of economists indicates that the probability of a US recession is down sharply</a></li><li><a href="https://www.forexlive.com/news/household-spending-in-australia-december-31-mm-prior-18-20240115/">Household spending in Australia, December, -3.1% m/m (prior +1.8%)</a></li><li><a href="https://www.forexlive.com/news/reports-qatar-appears-to-have-stopped-sending-lng-tankers-through-bab-el-mandeb-strait-20240115/">Reports Qatar appears to have stopped sending LNG tankers through Bab el-Mandeb Strait</a></li><li><a href="https://www.forexlive.com/news/jp-morgans-ceo-dimon-warns-inflation-may-be-stickier-rates-higher-than-markets-expect-20240115/">JP Morgan's CEO Dimon warns inflation may be stickier, rates higher, than markets expect</a></li><li><a href="https://www.forexlive.com/news/oil-houthis-fired-an-anti-ship-cruise-missile-at-a-us-navy-ship-20240115/">Oil – Houthis fired an anti-ship cruise missile at a US Navy ship</a></li><li><a href="https://www.forexlive.com/centralbank/mr-jgb-japans-stable-inflation-target-achievable-in-2024-but-not-in-the-way-boj-thinks-20240115/">Mr. JGB: Japan's stable inflation target achievable in 2024, but not in the way BOJ thinks</a></li><li><a href="https://www.forexlive.com/centralbank/peoples-bank-of-china-left-its-mlf-rate-unchanged-recap-20240115/">People's Bank of China left its MLF rate unchanged – recap</a></li><li><a href="https://www.forexlive.com/news/schumer-says-us-congressional-leaders-have-agree-to-a-stopgap-funding-measure-20240115/">Schumer says US congressional leaders have agree to a stopgap funding measure</a></li><li><a href="https://www.forexlive.com/centralbank/peoples-bank-of-china-set-mlf-rate-at-25-prior-25-20240115/">People's Bank of China set MLF rate at 2.5% (prior 2.5%)</a></li><li><a href="https://www.forexlive.com/centralbank/japans-2-year-yield-has-dropped-back-under-zero-first-time-since-july-2023-20240115/">Japan's 2 year yield has dropped back under zero, first time since July 2023</a></li><li><a href="https://www.forexlive.com/centralbank/pboc-sets-usd-cny-reference-rate-for-today-at-71084-vs-estimate-at-71684-20240115/">PBOC sets USD/ CNY reference rate for today at 7.1084 (vs. estimate at 7.1684)</a></li><li><a href="https://www.forexlive.com/news/australian-private-survey-of-inflation-soared-by-1-mm-in-december-the-most-in-17-months-20240115/">Australian private survey of inflation soared by 1% m/m in December, the most in 17 months</a></li><li><a href="https://www.forexlive.com/news/taiwans-presidential-election-pro-sovereignty-dpps-william-lai-wins-20240115/">Taiwan's Presidential election: Pro-sovereignty DPP's William Lai wins</a></li><li><a href="https://www.forexlive.com/centralbank/peoples-bank-of-china-interest-rate-cut-expected-today-20240114/">People's Bank of China interest rate cut expected today</a></li><li><a href="https://www.forexlive.com/news/ubs-targets-higher-for-the-sp-500-sees-strong-earnings-strong-economy-20240114/">UBS targets higher for the S&amp;P 500, sees strong earnings, strong economy</a></li><li><a href="https://www.forexlive.com/news/six-arrested-in-plot-to-shut-down-the-london-stock-exchange-20240114/">Six arrested in plot to shut down the London Stock Exchange</a></li><li><a href="https://www.forexlive.com/centralbank/barclays-moved-its-forecast-for-the-first-federal-reserve-rate-cut-to-march-from-june-20240114/">Barclays moved its forecast for the first Federal Reserve rate cut to March (from June)</a></li><li><a href="https://www.forexlive.com/centralbank/weekend-ecb-chief-economist-philip-lane-nominates-june-key-data-for-rate-cuts-20240114/">Weekend: ECB chief economist Philip Lane nominates June 'key data' for rate cuts</a></li><li><a href="https://www.forexlive.com/news/weekend-ex-pboc-official-says-chinas-property-downturn-may-continue-for-two-more-years-20240114/">Weekend: Ex-PBoC official says China’s property downturn may continue for two more years</a></li><li><a href="https://www.forexlive.com/news/trade-ideas-thread-monday-15-january-insightful-charts-technical-analysis-ideas-20240114/">Trade ideas thread – Monday, 15 January, insightful charts, technical analysis, ideas</a></li><li><a href="https://www.forexlive.com/news/monday-morning-open-levels-indicative-forex-prices-15-january-2024-20240114/">Monday morning open levels – indicative forex prices – 15 January 2024</a></li><li><a href="https://www.forexlive.com/news/weekly-market-outlook-15-19-january-20240114/">Weekly Market Outlook (15-19 January)</a></li><li><a href="https://www.forexlive.com/Cryptocurrency/why-the-bitcoin-etf-inflows-are-a-huge-disappointment-20240113/">Why the bitcoin ETF inflows are a huge disappointment</a></li></ul><p>
It
was a day of light market news flow only, although there were some
potentially significant items for energy markets:</p><ul><li>there
are reports that Qatar has stopped its shipments of LNG through the
Bab el-Mandeb Strait (and thus the Suez Canal)</li><li>Houthis
fired a cruise missile at a US Navy ship</li></ul><p>If
you take a glance at the oil price its up, but barely noticeable.
</p><p>In
political news we had</p><ul><li>the
Saturday election in Taiwan saw William Lai, of the pro-sovereignty
Democratic Progressive Party (DPP), elected President, although the
party did lose its parliamentary majority</li><li>US
Senate Democratic leader Schumer said congressional leaders have
agreed to a stopgap funding measure</li></ul><p>In
central bank developments, the People’s Bank of China set the rate
on this month’s Medium-term Lending Facility (MLF) at an unchanged
rate of 2.5% despite wide (but not unanimous) expectations of a 10bp
cut. This despite continued disinflation in China and is reflective
of the concern the PBoC have of yuan weakness prompting capital
outflow.</p><p>USD/JPY
rose on the session, the drop in 2-year Japanese Government Bond
yields back below zero weighed on the yen.
It was a mixed bag
across the major currencies. The USD was net weaker against the EUR,
GBP and CAD. AUD and NZD underperformed.</p><p>Offshore
yuan is higher on the session.</p>

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