Five Federal Reserve officials speaking TuesdayNvidia to resume H20 GPU sales to China with U.S. backing, sources sayChina June retail sales +4.8% y/y (expected +5.4%), Industr output +6.8% (expected +5.7%)China Q2 GDP +1.1% q/q (vs. +0.9% expected. +1.2% prior))China June House prices -3.2% y/y (prior -3.5%)PBOC sets USD/ CNY central rate at 7.1498 (vs. estimate at 7.1758)WSJ: “Europe draws up retaliatory tariffs for U.S. goods in case no trade deal is reached”Australian July consumer confidence +0.6% m/m to 93.1Reuters – Japan election jitters rattle bond market as investors brace for fiscal shiftUSD/JPY on approach towards 149 – when do the BoJ and Japanese government start to sweat?Japan and EU to strengthen economic ties with focus on trade, tech and supply chainsUK retail sales rebound in June “on hot weather”, but consumer caution lingersFed Chair Powell requests fresh review of Fed building renovations amid lawmaker scrutinyMoody’s chief economist warns of deepening housing market slump as 7% mortgage rates biteUBS sees Trump doing a TACO on 30% EU tariffs, recommend buy gold as a policy risk hedgeTrump reneges on agreement with Mexico, will impose a 17% tariff on Mexican tomato importsPeople’s Bank of China to dump 1.4 tln yuan cash in banking system today. 3, 6 month tenorGoldman Sachs forecasts gold reaching US$4,000Bank of America say Trump’s latest tariff hikes firm the Fed ‘no rate cut this year’ callForexlive Americas FX news wrap 14 Jul: . Trump looks to pressure Russia to ceasefire dealJapan’s Ishiba and Akazawa to meet Bessent in Tokyo ahead of tariff talks deadlineNASDAQ closes at a new record highTrade ideas thread – Tuesday, 15 July, insightful charts, technical analysis, ideas
Major FX pairs traded in narrow ranges during the session, with no clear directional moves.
The standout action was in Japanese fixed income, where long-term Japanese Government Bond (JGB) yields climbed to new highs:
30-year JGB yield rose to a record high of 3.195%
20-year JGB yield hit 2.64%, the highest since November 1999
In China, a batch of economic data was released.
Before the main data, June home prices showed a further decline, highlighting continued weakness in the country’s debt-laden property sector.
Q2 GDP data beat expectations:
+1.1% q/q (vs. expected +0.9%, prior +1.2%)
+5.2% y/y (vs. expected +5.1%, prior +5.4%)
While solid, the results were a touch below Q1.
June economic activity data was mixed:
Retail sales missed sharply, pointing to still-soft domestic demand
Industrial production beat expectations, supported by resilient exports
In equities, Nvidia made headlines, announcing it is filing with U.S. authorities to resume sales of its previously restricted H20 GPU to customers in China.
“The U.S. government has assured NVIDIA that licenses will be granted, and NVIDIA hopes to start deliveries soon,” the company said.
Asia-Pacific equity markets:
Australia (ASX 200) +0.5%
Hong Kong (Hang Seng) +0.75%
Japan (Nikkei 225) +0.1%
Shanghai Composite -0.4%
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USD/JPY approached 148:
This article was written by Eamonn Sheridan at www.forexlive.com.