ForexLive Asia-Pacific FX news wrap: Another China May PMI improves, still in contraction

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ForexLive Asia-Pacific FX news wrap: Another China May PMI improves, still in contraction

The highlight of the data calendar was the Caixin/Markit Manufacturing PMI



The
highlight of the data calendar was the Caixin/Markit Manufacturing
PMI





for






May.





It
came in showing contraction, the same as the official PMIs for the
month that were published yesterday.





The
other data release of note was the Q1 GDP result from Australia,
which came in slower from the Q4 2021 result(which had a huge boost
from COVID reopening) but slightly ahead of the median estimate.




Apart
from those data items news flow was non-impactful.





On
the central bank agenda was a speech from Bank of Japan Deputy
Governor Wakatabe. He did not depart from the BOJ mantra of
sustaining its easing program and back it up with saying the bout of
cost-push inflation being experienced is best handled by fiscal and
energy polices, not changers to monetary policy.

USD/JPY (chart below) moved higher during the session, piercing 129.00 again and then sitting just above. There was USD strength evident against EUR also. USD/CAD and NZD/USD are barely changed on the session, AUD/USD too. EUR

usdyen wrap 01 June 2022

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