This is based on the probabilities of changes to the Fed Funds rate and U.S. monetary policy, as implied by 30-Day Fed Funds futures pricing data.For the June meeting, later today on Wednesday, 14 June 2023 its showing 100% for no change, for Fed Funds to stay in the...
PBOC is expected to set the USD/CNY reference rate at 7.1550 – Reuters estimate
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,...
New Zealand FPI (May) +0.3% m/m (expected +0.3%)
New Zealand food price index for May 2023 comes in at +0.3% m/mexpected +0.3%, prior +0.5%for the y/y +12.1%The New Zealand Food Price Index (FPI) is a measure of the changes in the average price of food items sold in New Zealand.calculated and published monthly by...
BNP Paribas Federal Open Market Committee (FOMC) preview – why there’ll be a hike in July
The US Federal Reserve Federal Open Market Committee (FOMC) statement is due at 2pm US Eastern time, with Chair Powell's press conference following at 2.30pm.BNP Paribas are in line with consensus, its pretty much unanimous, that the FOMC will leave Fed Funds...
Australian weekly consumer confidence survey 72.7 (prior 77.7)
The Australian ANZ - Roy Morgan consumer confidence survey is conducted weekly.It shows consumers are persistently, and deeply, pessimistic. High inflation and a central bank that is hiking rates aggressively, and yet still floundering, is weighing on sentiment....
Bank of Japan meeting concludes Friday – preview
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,...
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Data on Tuesday showed US inflation kept slowing, should reinforce FOMC on hold decision
The Federal Reserve's Federal Open Market Committee (FOMC) meeting concludes Wednesday, 14 June 2023:Statement due at 2pm US Eastern time and Powell's news conference follows a half hour laterEarlier previews:This snippet via RBC after the CPI data on Tuesday from a...
New Zealand data, Q1 Current Account deficit
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,...
Nomura says Japan has “now-persistent and above-trend growth and inflation”
This from Nomura on Japan, analysts at the firm eyeing surging stocks:Japan has a structural story of now-persistent and above-trend growth and inflation, which are leading the long-delayed ‘third arrow’ of AbenomicsThere is a long-awaited story building of a...
European Central Bank to hike 25bps this week & in July. EUR/USD year-end forecast 1.14.
This is via the folks at eFX. For bank trade ideas, check out eFX Plus. For a limited time, get a 7 day free trial, basic for $79 per month and premium at $109 per month. Get it here. According to ANZ, the ECB is expected to raise rates by 25 basis points in both June...
Forexlive Americas FX news wrap 13 Jun: US CPI comes tumbles to 4% in May
The US May CPI came in a touch weaker than expectations at 0.1% vs 0.2% estimate. That took the YoY level to 4.0% from 4.9% thanks to a 1.0% reading from a year ago dropping out of the equation. Next month there will be one more big number exiting which should bring...
2 responses to the US CPI from Goldman Sachs – FOMC pause in June
A couple of snippets from Goldman Sachs, their economists and then their asset managers.Goldman Sachs economists:We view today’s report as supportive of our call for a pause at the June FOMC meeting followed by a hike in July.Goldman Sachs Asset Management...
Barclays’ oil outlook is for non-OPEC+ supply to slow significantly in the months ahead
Barclays' outlook for oil: expect non-OPEC+ supply growth to slow significantly over coming quarters and lot of incremental weakness in demand is likely already in priceforecasts US oil output to grow 700 kb/d q4-to-q4 in 2023 and 300 kb/d in 2024, with Permian still...
Private oil survey data shows headline crude oil build vs draw expected
The inventory data from the private survey is out now, official data follows Wed. morning (US time).Builds across the board.Via Twitter:Expectations I had seen centred on:Headline crude -0.5 mn barrelsDistillates +1.2 mn bblsGasoline +0.3 mn--This data point is from a...
The close: The value trade leads the way as US stocks hit new highs
The S&P 500 continued to break through the August 2022 high after a soft CPI kneecapped Fed hike expectations for tomorrow:S&P 500 +0.7%Nasdaq Comp +0.8%Russell 2000 +1.2%DJIA +0.4%Toronto TSX Comp +0.3%The Russell 2000 has much further to go to get back to...
ICYMI – People’s Bank of China rate cut overnight (that’s two rate cuts in one day)
Here's the first rate cut - on Tuesday the PBOC cut its repo rate:And, the second cut - the Bank followed up with another cut overnight, lowered the interest rates on its standing lending facility (SLF) by 10 basis points:the rate on the overnight SLF was reduced to...
Economic calendar in Asia – Wednesday, 14 June 2023 – a very light one
New Zealand data is all I have on the calendar for the session. And its not likely to move the NZD too much opon release. This snapshot from the ForexLive economic data calendar, access it here. The times in the left-most column are GMT. The numbers in the right-most...
Trade ideas thread – Wednesday, 14 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,...
Student debt loan repayments could be a headwind to US consumer spending
An unheralded US economic risk this month is the fate of around $430 billion in forgiven US student debt.The Supreme Court will decide on whether President Biden had the authority to write off the debt this month. The exact date of decisions aren't disclosed but it's...