Just as it was highly likely that the DJIA would be drawn to the 22,000 handle, it was somewhat inevitable that price would reject the level, given the cluster of orders located close to this critical psyche level. A record intraday high of 21,990 was reached, with the index of the USA largest firms closing […]
Despite trading in USA equity markets being approx 10% below the thirty day moving average, both the DJIA and SPX closed up on Monday, the DJIA pushed through R2 to close at a new record high and is now ominously closing in on the next major target, the 22,000 handle, which would represent an approx.
Tuesday’s high impact news events begin with the RBA (Reserve Bank of Australia) announcing their interest rate decision. Currently at 1.5% there is little expectation for a rise or cut, despite August representing the annual anniversary of the record low 1.5% rate. In the last monetary policy statement (accompanying the rate hold in July), the
Sunday evening we’ll learn the building permits figure from New Zealand and the latest (provisional) industrial production figures from Japan. YoY production in Japan is forecast to fall to 4.8% in June, from 6.5% in May. The shock -3.6% monthly contraction recorded in May is predicted to reverse back to a healthy growth figure of
The week ends with the infamous NFP jobs print. Which no longer provides the fireworks of previous years, given the relative stability of USA employment; many Fed officials consider unemployment at circa 5% to be relative “full employment”. However, the data release can still move markets, if a shock print is published. The ADP data
Australian import prices fell by -0.1% and export prices fell by -5.7% in Q2, initially the Aussie reacted positively to the data. However, the gains were short lived and several Aussie pairs eventually turned negative throughout Thursday’s trading sessions, with AUD/USD closing the day out resting on the daily pivot point, at 0.7967. Chinese data
On Friday afternoon, attention will focus on two GDP figures from North America; both Canada’s and the USA’s latest GDP growth figures are published at GMT 12:30pm. The forecasts, from the various economists polled by Reuters and Bloomberg, predicts GDP growth in both countries. Canada’s growth is predicted to come in 0.2% for May, maintaining
USA and Canadian GDP figures may reveal where the wider North American economy is headed Read More »
As widely expected, the FOMC announced that the key interest rate in the USA would remain at 1.25%. In their follow on statement accomplishing the announcement, the committee aired concerns that inflation is below the target of 2%, whilst also committing to begin ‘unwinding’ from the $4.5 trillion balance sheet, a process scheduled to begin
European equity markets closed up on Tuesday, partly as a consequence of Germany’s latest IFO readings for: business assessment, climate and expectations, coming in ahead of forecasts. Import prices came in below expectations at a -1.1% increase month on month, ensuring that Germany’s manufacturing costs will be (temporarily or otherwise) cheaper. Other European economic calendar
On Monday the IMF published fresh data with its projections for 2017 global growth, it revised its prediction for the UK’s growth, down from 2% to 1.7%. It must be noted that the IMF are notoriously over optimistic with regards to international growth and that the UK’s Q1 official ONS growth figure came in at
