US used cards have been a big source of inflation in the past two CPI reports but that is set to reverse in the months ahead. The official data trails wholesale data by about two months and you can see the bounce here, followed by a reversal lower.The latest data...
Trade ideas thread – Tuesday, 20 June 2023
High risk warning: Foreign exchange trading carries a high level of risk that may not be suitable for all investors. Leverage creates additional risk and loss exposure. Before you decide to trade foreign exchange, carefully consider your investment objectives,...
Forexlive Americas FX news wrap: Homebuilder sentiment climbs with US off for holiday
Markets: US bond and stock markets closedGold down $7 to $1950WTI crude oil down 49-cents to $71.29S&P 500 eminis down 5 points, or 0.1%Toronto TSX Comp down 0.17%USD leads, NZDThe US took a holiday and the dollar was still the top performer. The theme on the day...
Airbus gets a record 500-plane deal in a demonstration of sensational India demand
Indian are the next great consumers.At the Paris air show Indian airline IndiGo made a record order for 500 planes from Airbus, in an indication of the extreme demand coming from the world's most-populous nation. It surpasses the previous record order of 470 planes by...
ANZ recommends buying AUD/NZD on dips, anticipates USD/JPY to fade gains
ANZ Bank has shared its outlook on the AUD/NZD and USD/JPY currency pairs for this week.For the AUD/NZD pair, ANZ suggests that the New Zealand Dollar (NZD) will likely remain range-bound over the next week. The bank recommends adopting a “buy on dips” strategy for...
EU countries fail to find common ground on power market reforms
European leaders failed today to hammer out a deal on electricity market reform and regulation. On the weekend, France's energy minister said energy ministers could strike a deal today but talks will have to go one.The aim to to halt the kind of price spikes that...
ECB’s Stournaras: A further decrease in inflation is expected
Cannot exclude a further hike but we are data drivenKeeping rates at terminal level 'might be six months or a year' depends on the dataWe are definitely close to the end of interest rate hikesLagarde essentially promised a July rate hike but the market is only pricing...
European shares stumble to start the week, falling 1%
High risk warning: Foreign exchange trading carries a high level of risk that may not be suitable for all investors. Leverage creates additional risk and loss exposure. Before you decide to trade foreign exchange, carefully consider your investment objectives,...
A peek at how quickly Europe is falling behind the United States
The FT today writes about how the US is quickly growing far richer than the EU and remains far more dynamic.Some stats:In 2008, the EU and US economies were roughly the same sizeIn 2022, the US economy grew to $25 trillion compared to $19.8T for the EU and UK...
US June NAHB housing market index 55 vs 51 expected
Prior was 50Current single family home sales versus 56 in Mayhome sales over next 6 months versus 57 in May index of prospective buyers versus 33 in MayIt's been clear for some time that US housing isn't going to roll over. That's put home builders in an enviable...
Spanish central bank raises 2023 GDP estimate to +2.3% from +1.6%
2024 seen at 2.2%2025 seen at 2.1%Cuts 2023 inflation forecast to 3.2% from 3.7%Sees 2023 budget deficit at 3.8% of GDP from 4.8% in 2022Sees debt-to-GDP at 109.7% and easing to 108.0% by 2025These are decent numbers by the standards of 2023-2025 globally.MoneyMaker...
Canada May producer price index -1.0% m/m vs -0.7% expected
Prior was -0.2% (revised to -0.6%)Canada IPPI year on year -6.3% versus -3.5% last month Raw material price index -4.9%% MoM versus +2.9% last monthRaw material prices YoY -18.4% versus -10.8% last month The latest Bank of Canada rate hike is going to prove to be a...
Forexlive European FX news wrap 19 Jun || U.S. holiday dulls stalling markets
Session wrap Forex news from the European morning session on Jun 19, 2023 || U.S. holiday dulls stalling markets <!--> Ryan Paisey Monday, 19/06/2023 | 12:20 GMT-0 19/06/2023 | 12:20 GMT-0 --> <!--> Global shares drifted on Monday from 14-month highs...
MUFG trade of the week: Going long EUR/USD and staying long AUD/USD
MUFG added a long EUR/USD position to its ToTW portfolio (spot ref: 1.0920), with a target at 1.1320, and a stop at 1.0620. "We are recommending a new long EUR/USD trade idea. The pair has regained upward momentum over the past week and we see room for the rebound to...
ECB’s Schnabel: Risks To The Inflation Outlook Are Tilted To The Upside
ECB's Schnabel: Risks To The Inflation Outlook Are Tilted To The UpsideFULL STORY**THE PATH TOWARDS SUSTAINED PRICE STABILITY REMAINS UNCERTAIN AND FRAUGHT WITH RISKS**PROFIT MARGINS EXPECTED TO ABSORB RISING LABOUR COSTS**A MONETARY POLICY STANCE THAT ERRS ON THE...
ECB’s Lane: Another Hike in July Seems Appropriate and Then We Will See in September
**SAYS ANOTHER HIKE IN JULY SEEMS APPROPRIATE AND THEN WE WILL SEE IN SEPTEMBER**ECB'S LANE SAYS INFLATION WILL COME DOWN FAIRLY QUICKLY IN NEXT COUPLE OF YEARS TO THE ECB'S 2% TARGET**LANE SAYS ECB NEEDS TO BE DATA-DEPENDENT ABOUT INFLATION OUTLOOK**LANE SAYS ECB IS...
SNB to raise rates a final 25 bps to 1.75%, but risk of higher peak – Reuters Poll
The Swiss National Bank will raise interest rates by 25 basis points on June 22, defying market expectations for a larger move, according to economists polled by Reuters who said the bigger risk was rates will peak higher than they expect.An overwhelming majority of...
UK 2-year Gilt yields rise to 5% for first time since 2008, up 7 basis points on day
High risk warning: Foreign exchange trading carries a high level of risk that may not be suitable for all investors. Leverage creates additional risk and loss exposure. Before you decide to trade foreign exchange, carefully consider your investment objectives,...
Dollar nudges up, UK pound near 14-month highs ahead of BoE decision
The dollar edged higher on Monday as investors digested a slew of monetary policy decisions by central banks last week and looked ahead to a crunch decision by the Bank of England on Thursday.FULL STORYIn a busy week for central banks, the European Central Bank on...
Blinken meets Xi during pivotal China trip to salvage frosty ties
U.S. Secretary of State Antony Blinken met with Chinese President Xi Jinping on Monday, wrapping up a rare and pivotal trip to Beijing that aimed at ensuring the many disputes between the superpowers do not spiral into conflict.FULL STORY**XI SAYS BLINKEN VISIT COULD...