Results for 'CPI'
10 articles with this tag name
Updated May 16, 2013 10:20:00 AM
The slew of economic data released this morning out of the US reinforced the need for ongoing Fed stimulus (for now) as reports raised concern regarding both of the Fed’s mandates (price stability and full employment). Consumer prices fell by -0.4% m/m in April which was deeper than the expected -0.3% drop and even lower than the prior month’s decline of -0.2%. This was the first back-to-back decline since 2008 and the April decline was
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Updated May 16, 2013 6:47:48 PM
NZDCAD has been selling off hard since late April due to a broader flood out of the kiwi, which overshadowed a push higher in USDCAD. Whilst the main driving force behind recent weakness in NZDUSD and strength in USDCAD was a surge towards the US dollar, the NZ dollar was also hit by news that the RBNZ had intervened in the currency market to devalue the kiwi and may do so again. Furthermore, NZDCAD broke
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Updated Apr 15, 2013 11:00:40 PM
New Zealand’s CPI has been a focal point of monetary policy discussions at the RBNZ and will continue to be going forward. In fact, inflation is one of the most influential factors in the Reserve Bank of New Zealand’s policy decisions, as it is a gauge of price pressure on the economy. Hence, consistently weak CPI data may be enough to steady the RBNZ from raising rates in the medium-term. We aren’t expecting the bank
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Updated Apr 22, 2013 1:14:34 AM
The G20 has given a green light to the BoJ to continue on its path of aggressive monetary easing. The bank’s measures were not opposed by world leaders, which has resulted in a spout of yen weakens. The market was previously concerned that the BoJ would come under scrutiny for its aggressive easing campaign which has dramatically weakened the yen. However, it appears the G20 believes the rhetoric from Tokyo that the BoJ’s easing measures
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Updated Dec 9, 2012 11:15:56 PM
Disappointment was the theme of the day, with figures out of Australia, Japan and China failing to inspire much confidence, despite some positive data out the world’s second largest economy over the weekend. Chinese industrial production and retail sales surprised the market and rallied calls for a growth turnaround this quarter. Yet, this latest batch of trade data undermines previous assumptions about the health of China’s export sector. China’s trade data disappoints The 2.9%
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Updated Jan 10, 2013 11:33:13 PM
Japan’s PM Abe launched his first big attempt at bolstering economic growth in his country since taking power, but is it enough fuel to kick-start the Japanese economy? He announced a JPY 10.3trn spending package aimed at adding 2% to GDP and creating 600,000 jobs. However, the market seemed more concerned with weak Japanese trade data and inflation figures out of China. AUDUSD and NZDUSD started to retrace overnight gains almost immediately after Japan recorded
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Updated Feb 28, 2013 11:33:30 PM
Two separate readings of manufacturing sentiment in China point a slowing expansion in the heart of its economy. Official manufacturing PMI slipped to 50.1 in February from 50.4 in the prior month. Economists were expecting to see a slight pick-up in sentiment according to Bloomberg. More evidence of a slowing expansion in manufacturing came from HSBC’s PMI data, with a more severe drop to 50.4 from 52.3, although this was largely expected as it was
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Updated Apr 9, 2013 12:09:40 AM
USD was the biggest loser today, with the yen sell-off taking a break. EURUSD burst through a resistance zone around 1.3040 which trigged a push to a session high around 1.3070. There was no real fundamental reason for the drive. Instead, it seems bulls overwhelmed bears after the pair failed to hold below 1.3000 in last night’s NY session. China’s CPI is expected to ease further Commodity currencies were bolstered by China’s March inflation
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Updated Apr 24, 2013 12:00:00 AM
The Aussie and the Kiwi were sent in opposite directions following the release of Australian CPI data and the RBNZ’s interest rate decision, respectively. After the events of today, pricing in the interbank market suggests interest rates in Australia may match those in NZ as early as October. In other words, the market is looking for another 50 bps of cuts from the RBA, while the RBNZ holds its cash rate steady at 2.5%. While
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Updated Dec 28, 2012 12:10:57 AM
Japanese industrial production sunk to its lowest level since the aftermath of the devastating 2011 earthquake, while inflation printed in deflationary territory, adding fuel to Abe’s calls for more aggressive easing from the BoJ. Hence, the yen lost even more ground against the dollar during the session, with USDJPY briefly rising above 86.60 despite the fact that the negative CPI print was largely expected. Japan is in deflationary territory Economists’ forecast CPI to fall 0.1%
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