Markets Shrug Poor China GDP, Aussie and Kiwi Firm
Action Insight Daily Report 10-18-19

Markets Shrug Poor China GDP, Aussie and Kiwi Firm

Australian and New Zealand Dollar are slightly firmer in Asian session today despite Chinese GDP miss. The stronger than expected industrial production growth ease some concerns over worse slowdown in Q4. Meanwhile, Sterling continues to consolidation in tight range, digesting this week's strong gains. The Pound's fate will heavily depend on the crucial Brexit vote on Saturday.

As for the week, Sterling remains the strongest one, shot up by UK Prime Minister Boris Johnson's new Brexit deal with EU. The development took other European majors higher too, with Swiss Franc second strongest and Euro third. On the other hand, Yen is currently the weakest for the week, followed by Dollar, as risk aversions eased.

In Asia, Nikkei closed up 0.18%. Hong Kong HSI is down -0.58%. China Shanghai SSE is down -1.14%. Singapore Strait Times is down -0.45%. Japan 10-year JGB yield is up 0.0089 at -0.145. Overnight, DOW rose 0.09%. S&P 500 rose 0.28%. NASDAQ rose 0.40%. 10-year yield rose 0.009 to 1.757.

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AUD/USD Daily Outlook

Daily Pivots: (S1) 0.6775; (P) 0.6804; (R1) 0.6855; More...

Intraday bias in AUD/USD remains mildly on the upside as rebound from 0.6677 is extending. But outlook is unchanged that such rebound is seen as a corrective move. Hence, upside should be limited by 0.6894 resistance to bring down trend resumption. On the downside, break of 0.6723 minor support will turn bias back to the downside for retesting 0.6670 low.

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EURJPY | EURGBP | EURCHF | EURAUD | GBPJPY

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Economic Calendar
GMT Ccy Events Actual Forecast Previous Revised
23:30 JPY National CPI Core Y/Y Sep 0.30% 0.30% 0.50%
2:00 CNY GDP Y/Y Q3 6.00% 6.10% 6.20%
2:00 CNY Retail Sales Y/Y Sep 7.80% 7.80% 7.50%
2:00 CNY Industrial Production Y/Y Sep 5.80% 5.00% 4.40%
2:00 CNY Fixed Asset Investment YTD Y/Y Sep 5.40% 5.40% 5.50%
8:00 EUR Current Account (EUR) Aug 21.3B 20.5B