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...
McDonald’s Japan hikes prices in city centres as costs bite
The Japanese operator of McDonald's restaurants said on Monday it would raise prices at 184 city centre branches, equivalent to about 6% of its 3,000 stores, to help absorb higher rents and labour costs.FULL STORYMany businesses have begun passing on to consumers the...
France targets 10 billion euros in budget savings – minister
A French government spending review has identified 10 billion euros in budget savings that will be targetted in the coming years, Finance Minister Bruno Le Maire said on Monday. FULL STORYSavings would come from public sector spending in the health sector, housing,...
Berlin to sign agreement with Intel after chip plant talks
The German government scheduled the signing of an agreement with Intel for 1245 GMT on Monday, capping off talks over a new chip-making complex on German soil.FULL STORYThe Handelsblatt business daily reported last week thatthe U.S. company is expected to receive 9.9...
Weekly Market Outlook (19-23 June)
UPCOMING EVENTS:Monday: US Juneteenth Holiday.Tuesday: PBOC LPR.Wednesday: UK CPI, Fed Chair Powell’s Testimony.Thursday: SNB Policy Decision, BoE Policy Decision, US Jobless Claims.Friday: US S&P Global PMIs.Tuesday: The PBOC is expected to cut the 1-year and...
Secretary of State Antony Blinken will meet President Xi Jinping today in Beijing
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,...
China seen cutting key lending benchmarks as economy slows
China is widely expected to cut key lending benchmarks on Tuesday in the first such easing in 10 months, a Reuters survey showed, as authorities seek to shore up a slowing recovery in the world's second-largest economy.FULL NOTETwenty-one, or nearly 66%, of all...
Berkshire Hathaway adds to Japan trading company holdings
Billionaire investor Warren Buffett's Berkshire Hathaway said it added to stakes in Japan's five biggest trading houses to beyond 8% on Monday, a move likely to highlight and add to the momentum driving Japan's stock market to new heights.FULL NOTE**COMPANIES IN WHICH...
Market Update – June 19 – US Holidays, Blinken in China, Waiting for the PBoC
Asia-Pacific markets largely fell on Monday in a week when the PBoC is broadly expected to cut its 1-year and 5-year Loan Prime Rates tomorrow while uncertainty is surrounding China’s economy and the scope of any potential stimulus. In an attempt to improve...