Trump’s Trade Crusade: Good or Bad for World Economy?
Key points The tit-for-tat trade dispute between the US and China escalated this week. However, the market reaction was positive, as the actions were not as bad as expected. Indeed, both countries pushed for lower trade barriers (with other countries)....
FOMC Preview: Destination Neutral
As the real economy is in good shape, the Fed is on autopilot until the target range reaches 2.75-3.00% (most FOMC members’ estimate of the neutral rate) After neutral is reached, it is more ‘stop and go’ depending on how...
Week Ahead – FOMC Meeting and PCE Inflation Eyed as Dollar Loses Momentum; RBNZ also Meets
All eyes will be on the Federal Reserve policy meeting in the United States next week as markets await the central bank’s response to a firming inflation outlook and rising global trade tensions. The Reserve Bank of New Zealand will...
Weekly Focus: Italy Countdown
Market movers ahead In the US, we expect the Fed to hike the target range to 2.00-2.25% and PCE core inflation to rise +0.1% m/m which leaves y/y unchanged at 2.0%. In the trade war, we are still awaiting an...
Canada: Headline Inflation Eases in August, but Core Measures Accelerate
Consumer prices rose 2.8% year-on-year in Canada in August, a slight deceleration from the 3% posted in July but right in line with market expectations. Adjusted for seasonal patterns, prices rose 0.1% month-on-month following a large 0.5% increase in July....
Canadian Retail Sales Up in July Though Volumes Dipped
Highlights: Retail sales rose 0.3% in July though were off 0.1% in volume terms (excluding the impact of prices) The volume of sales ex motor vehicles, parts and gasoline increased 0.7% E-commerce sales — only some of which are captured...
Japan’s PMI Rise – We Expect Euro Area To Follow Suit
Market movers today Today is PMI day. In the overnight session we got Japanese PMI, which came in at 52.9 and later today both US and euro area PMI are due. After starting the year on a declining trend, we...
Euro-Zone’s Consumer Confidence Rased To A 15-Month Low Level In September
For the 24 hours to 23:00 GMT, the EUR rose 0.93% against the USD and closed at 1.1779. On the data front, Euro-zone’s preliminary consumer confidence index slid to a level of -2.9 in September, marking its lowest level in...
Oil Falls After Trump Targets OPEC
Oil fell after US President Trump targeted the Organization of the Petroleum Exporting Countries (OPEC) for not doing enough to keep crude prices low. This comes ahead of the organization’s meeting in Algeria with other major producers. The production cut...
British Pound Rises to 10-Week High on Higher Retail Sales
GBP/USD has posted strong gains in the Thursday session. Currently, the pair is trading at 1.3260, up 0.85% on the day. On the release front, British retail sales posted a gain of 0.3%, beating the estimate of -0.2%. Over in...
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