Market Movers: China Infrastructure Project Announcement Lift Index

Asian stock indexes gain positive sentiment towards the end of trading after the National Development and Reform Commission of China (NDRC) announced the approved two major infrastructure projects worth $ 11 billion. US and European stock indexes also rose yesterday. This positive sentiment is still shadowing the movement of the Asian stock indices this morning.

In addition to positive stock index, commodity prices and exchange rates 3 relating to commodities also rose, namely the New Zealand dollar, the Australian dollar and the Canadian dollar.

This morning the positive comments from officials of the Central Bank of Australia (RBA) to support the strengthening of the Australian dollar. RBA Deputy Governor Philip Lowe said that the GDP data for the 2nd quarter of Australia indicates that the Australian economy is still growing. The weakening of the Australian dollar exchange rate helps economic growth today.

This afternoon, the pound will gain market mover of the UK Manufacturing Production data in July. Data is estimated to grow 0.2% compared to the previous month. Positive growth in the manufacturing industry that will support the strengthening of the pound. In addition to data Manufacturing Production, the UK Trade Balance Data can also affect the movement of pounds. Trade Balance deficit that large can suppress the exchange rate.

Night, the Canadian dollar will gain significant market mover of the decision of the Bank of Canada monetary meeting. The market expects no change in policy. However, there may be a surprise since Canada has two consecutive quarters of GDP decline. When no trimming, the Canadian dollar might strengthen.