UK October public sector net borrowing £10.5 billion vs £8.6 billion expected
- £8.7 billion; revised to £7.3 billion
- PSNB (ex-banks) £11.2 billion vs £9.3 billion expected
German exports to the US reportedly jumped in Q3 despite trade tensions
Digging more into the data, exports to France increased by 3.1% y/y while sales to China nearly stagnated in Q3 - a slowing Chinese economy isn't helping with that regard.
Senior Chinese diplomat: US actions severely damages bilateral relations
- US has many times interfered with China's internal affairs
- US should meet China halfway to build cooperative, stable bilateral relations
Senior Chinese diplomat: China resolutely opposes US passing HK human rights bill
- China will never allow anyone to destroy HK's prosperity and stability
- China will never allow anyone to undermine its one country, two systems principle
European equities open lower amid more cautious mood
- Eurostoxx -0.6%
- Germany DAX -0.7%
- France CAC 40 -0.6%
- UK FTSE -0.5%
- Italy MIB -0.7%
China remarks earlier offer only a bit-part reprieve to markets
US futures stay 0.2% lower on the session, down by 5.5 points after the brief spike higher on the China remarks in the past hour.
France November business confidence 105 vs 105 expected
- Manufacturing confidence vs 100 expected
- Prior 99
USD/JPY runs into test of the 100-hour moving average, what's next?
Risk got a bit of a mild boost on that with bond yields inching higher and that helped USD/JPY climb above 108.60 to test the 100-hour MA (red line) @ 108.65. Price is also running into a test of the near-term trendline resistance as well.
China foreign ministry reaffirms opposition against US passage of HK bill
- Urges the US to prevent the HK bill from turning into law
There is some thinking that China will want to keep this topic separate from trade discussions. However, there is no doubt that if any of the more critical structural issues has to be addressed in the
Risk gets a mild boost as China plays down disagreement with US on trade
In turn, that is helping yen pairs move a little higher with USD/JPY trading at the highs for the day above 108.60 currently.