Forex news for Asia trading on
01 November 2021
kicked off the data flow over the weekend with disappointing
(official) PMIs for October. Some amends were made on Monday though
with the private survey manufacturing PMI improving. In a nutshell
the official PMI survey larger and many state-owned firms while the
private, Caixin/Markit survey is better represented with smaller
firms. State-owned firms generally benefit from more state support
but the divergence in performance favoured the samller firms in
October, according to the PMI results at least.
Japanese election saw the return of the Kishida government, with a
reduced, but still workable, majority. There will likely be further
economic stimulus programs coming from Japan and with Kishida’s
majority these will again have no problem gaining parliamentary
approval. Japanese stocks gained on the session. Hong Kong and China
equities, though, fell.
US dollar was broadly steady pretty much across the board. There were
some gyrations but as I post there is little net change for major
currencies against the dollar. Gold added on a few dollars.
How the Japanese election result looks – a comfortable win for PM Kishida: