Asian Session Recap – January 20, 2014

  • Chinese Q4 GDP at 7.7% vs. 7.6% consensus and 7.8% previous reading
  • Magnitude 6.1 earthquake hit New Zealand
  • Japanese industrial production figure revised down from 0.1% to -0.1%

China, the world’s second largest economy, reported 7.7% growth in the fourth quarter of 2013. This is slightly higher than the 7.6% consensus but weaker compared to Q3’s 7.8% GDP figure. Fixed asset investment missed expectations of a 19.9% increase and came in at 19.6% while other economic indicators, such as retail sales and industrial production, were as expected.

Over in New Zealand, a 6.1 magnitude earthquake hit Wellington earlier today, adding to selling pressure on the Kiwi. New Zealand’s REINZ HPI printed a 1.0% decline in house prices, erasing part of the 1.2% gain seen in the previous month. Meanwhile, Japan’s industrial production figure was revised down from 0.1% to -0.1%.

Up ahead, German PPI and Buba monthly report are up for release. These medium-tier reports aren’t expected to have a huge impact on euro pairs but, with the absence of US traders on a holiday, the lower liquidity might result to more volatile moves for EUR/USD.

See also:

U.S. Session Recap

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