Previous session:

APAC:

Chinese
 
 inflation  data was the focus for the session. Both the CPI and PPI (January figures) came in below expectations and December’s numbers. A couple of points to note on the data:

  • There is still rapid inflation at the producer level (PPI), albeit down on last month. Its not feeding into rapid CPI growth though.
  • There is no inflation constraint on the People’s Bank of China easing policy further, should they wish to do so. The next opportunity for a rate cut to watch is the Loan Prime Rate setting (1- and 5-year LPRs) coming up on Monday February 21. Given the Medium Term Lending Facility (MLF) from the Bank earlier this week was at an unchanged rate expectations are very low for any LPR cut this coming Monday.

There was little apart from the Chinese data to impact the forex and the ranges across the board have been very limited. Its been a very quiet session for anything fresh out of Ukraine/Russia tensions.

BTC update: