• English
  • 简体中文
  • 繁體中文
  • Tiếng Việt
  • ไทย
  • Indonesia
Subscribe
Real-time News
July 26 – According to a report by The New York Times, US President Trump has shelved plans for a significant escalation of military action against Iran. Trump is concerned that an escalation could dangerously deplete the Pentagons already dwindling stockpile of Patriot missile interceptors and other air defense munitions in the Middle East. The report states that government officials indicated that the strain on interceptor stockpiles is one of many factors making a resumption of large-scale military action extremely risky. Furthermore, Trump and his senior advisors are also uneasy about the potential for a escalation of the Middle East conflict, the possible alienation of key Gulf allies vulnerable to Iranian attacks, a global economic shock, and a worsening energy and refugee crisis.On July 26th, Huang Renxun discussed the US-China AI competition in an interview with foreign media on July 25th. He stated that outstanding talent will always find excellent solutions, and China is destined to produce excellent AI technology; therefore, China should continue to learn from and cooperate with them.July 26 – The latest epidemic report released by the Ministry of Health of the Democratic Republic of Congo on July 25 shows that the cumulative number of confirmed cases of Ebola in the country has risen to 3,075, with 1,354 deaths. Data shows that as of July 24, a total of 755 patients were receiving isolation or hospitalization treatment, and the cumulative number of recovered cases was 556. The outbreak has spread to five provinces: Ituri, North Kivu, South Kivu, Haut-Uele, and Chowpo.On July 26, Australian Prime Minister Barnes stated that he would raise the issue of tariffs with US President Trump. This comes after Washington imposed new tariffs on trading partners, including Australia. The Labor government, led by Barnes, has called the tariffs unreasonable and expressed its desire for their removal. When asked if he would discuss the issue with Trump, Barnes replied, "Of course." "We will raise this issue at all levels of the Australia-US relationship, and in fact, we have already done so."July 26 – According to Politico, as the US-Iran conflict continues, Arab countries suffering retaliatory attacks from Tehran are attempting to unite and find a path to peace. However, long-standing contradictions are hindering this process. In recent weeks, senior officials from the UAE and Saudi Arabia have publicly posed for photos together, demonstrating a thaw in relations; Jordan and six members of the Gulf Cooperation Council (GCC) have also held talks at the US State Department and Capitol Hill; and the GCC has issued several joint statements condemning Irans attacks. However, several Arab diplomats, current and former US officials, and people familiar with the regional situation say that while these countries all want to ensure the Strait of Hormuz remains open, their differing priorities in how to achieve this goal are hindering substantial progress. These differences include a series of conflicting interests, such as which countries possess alternative shipping lanes, which countries have the deepest infrastructure ties with Iran, and which countrys economy will suffer the greatest losses in the current crisis. An Iraqi official stated, "They are working together to visit the U.S. Congress and the State Department to coordinate their messaging. But they are not on the same page." The Gulf Cooperation Council (GCC), comprised of Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and the UAE, already had numerous internal divisions before the current conflict, and the war with Iran is further amplifying these contradictions. "They have many issues to resolve, and this war has exacerbated the existing divisions in the Gulf region," said David Schenker, former U.S. State Department director for Middle East affairs.

AUD/USD has maintained a multi-day bottom under 0.6700 as Q2 GDP is mixed and focus switches to Fedspeak

Daniel Rogers

Sep 07, 2022 16:47

截屏2022-09-07 上午11.29.53.png 

 

In the wake of contradictory Aussie data and a risk-averse atmosphere during Wednesday's Asian session, the AUD/USD strengthened its bearish bias towards the 0.6700 level and dropped to its lowest level since July 14. Risk barometer pair ignores Australia's efforts to tame inflation-driven economic woes ahead of next month's annual budget presentation.

 

Australian GDP for Q2 slowed to 0.9% from 1.0% expected and 0.8% in the previous quarter. Compared to the market consensus of 3.5% and prior readings of 3.3%, the year-over-year numbers imply a growth rate of 3.6%. The AiG Performance of Services Index for Australia topped 53.3 in August, up from 51.7 earlier in the day.

 

The government of Australia plans to cut the cost of pharmaceuticals and provide assistance to seniors in light of rising inflation. In anticipation of next month's federal budget, Prime Minister Anthony Albanese announced that legislation would be introduced to reduce the maximum co-payment on Australia's pharmaceutical benefits scheme from A$42.50 ($20) per prescription to A$30 ($20). It was also reported that pensioners will receive financial incentives from the government to help them sell their larger homes and move into smaller ones, thus lowering the strain on their retirement savings.

 

However, mounting fears of economic slowdown due to the energy crisis and China's covid troubles, combined with stronger US data and hawkish Fed bets, have supported the US dollar. Despite this, the US Dollar Index (DXY) is currently trading near its 20-year highs, with intraday advances of 0.22 percent near 110.50. CME's FedWatch Tool recently predicted a 50 bps rate hike in September, up from 57 bps the day before.

 

The 10-year US Treasury rate soared to its highest level since mid-June as Wall Street ended in the red, mirroring the general mood. Commodity prices, including oil and gold, continued under pressure, suggesting risk aversion and adding pressure to the AUD/USD exchange rate, which contributed to a decline in S&P 500 Futures of 0.50%.

 

Before the Fed's statement, the AUD/USD will be affected by China's August trade numbers. Reserve Bank of Australia (RBA) Governor Philip Lowe and Federal Reserve Chair Jerome Powell will both speak on Thursday, and their remarks will be widely studied for signs of policy shifts.