Headline: Asia Market Brief: AUD Steady on In-Line Wages, PBOC Seen Fixing Yuan Near 7.11 as Nvidia Looms
Introduction: Asian financial markets opened on a cautious footing as currency traders weighed steady Australian wage growth, a expected yuan fixing from the PBOC, and stronger-than-forecast Japanese machinery orders. With Nvidia’s earnings set to steer global risk sentiment, investors are also watching signals for gold, where central-bank buying remains a supportive theme.
Australia’s dollar was little moved after wage growth matched expectations aligned with the Reserve Bank of Australia’s outlook, keeping near-term policy assumptions intact. Domestic momentum showed a mild pickup, with the Westpac Leading Index rising 0.11% month-on-month in October 2025 and its six-month annualized rate improving. In China, the People’s Bank of China is expected to guide the USD/CNY reference rate around 7.112, signaling ongoing management of the yuan amid a steady policy stance.
Japan delivered a positive surprise as September core machinery orders climbed 4.2% month-on-month and 11.6% year-on-year, a sign of resilient capital expenditure and a constructive backdrop for the yen-sensitive equity complex. Equity and AI-hardware sentiment now pivots to Nvidia’s results due on November 19. With expectations already elevated, the semiconductor sector could face a broad pullback if guidance underwhelms, while a beat and confident fourth-quarter outlook may extend the rally in AI chip stocks.
In the U.S. policy arena, Donald Trump said he has decided on a preferred candidate for the next Federal Reserve Chair but withheld the name, adding a layer of uncertainty to the medium-term monetary landscape. In commodities, Deutsche Bank reiterated its bullish view on gold, emphasizing the metal’s role as a portfolio diversifier. The bank expects central banks to keep buying on price weakness, with exchange-traded fund flows still muted amid volatility and upside risks toward a $4,000/oz forecast.
Key Points: – AUD holds steady as Australian wage growth prints in line with RBA expectations – Westpac Leading Index rises 0.11% m/m in October 2025; six-month annualized growth improves – PBOC expected to set USD/CNY fix near 7.112, signaling managed yuan stability – Japan’s September core machinery orders beat forecasts at +4.2% m/m and +11.6% y/y – Nvidia earnings due November 19; AI-chip sentiment hinges on outlook and guidance – Deutsche Bank stays bullish on gold, citing continued central-bank buying and upside toward $4,000/oz
