Temporary return of risk appetite

5 October, 2015

Risk assets are to be given a boost this morning following a very strong end to the week for US indices last Friday and a buying frenzy in Asia overnight. Even Glencore, the recently much unloved stock that was looking like it was going to be the commodity sector’s first ever Lenham Brothers, is rallying strongly up over 12% at the time of writing, firmly back above the 100p level at the open in London’s session. The return of investor appetite has been fuelled by last Friday’s poor nonfarm payroll data which pushed the expectations of a December interest rate hike out causing dollar weakness and a spike in US Treasuries.

This week the focus remains on central banks with the Bank of England set to announce its rate decision on Thursday where the focus will be on whether any other hawks join the lone voter Ian McCafferty calling for a hike in rates. Today sees the usual beginning of month services PMI survey data for the Eurozone and UK, as well as Eurozone retail sales and then we get services PMI from across the pond later this afternoon. It will be interesting to see how these PMIs are faring in the current environment as even before the recent turmoil in the financial markets some survey data was starting to soften.


Source link  
USD Suffers on Subpoena News

The Trump Administration is back in the spotlight with news of a report that Special counsel Robert Mueller’s investigators have issued a subpoena...

Positive data negated by tax plan opposition

The US Labor Department released data on Wednesday showing the consumer price index edged up by 0.1% in October after climbing by 0.5%...

Data Boosts EUR Can CPI Boost USD?

EUR received a boost on Tuesday, as data from Destatis showed German Preliminary GDP climbed to 0.8% in Q3, beating forecasts of 0.6%. In addition...


Chinese Data Disappoints

China’s economy has been robust throughout 2017 as a continued recovery in manufacturing and industrial sectors, a healthy property market...

Data & Polls Pressure Sterling

Sterling suffered downward pressure on Tuesday as the latest monthly report from the British Retail Consortium showed non-food sales slumping...

Closing the Year on a Strong Note

Data released on Monday indicates that the Eurozone economy is on target to close out 2017 strongly. The latest Markit composite PMI fell...


Sterling Falls on Rate Rise

In line with market expectations, the Bank of England raised the UK base rate to 0.5% (from 0.25%) on Thursday. The rise, the first in 10 years, was widely...

Another Political Headache for Trump

USD gave up some of its recent gains on news that investigators had charged President Trump’s former campaign manager regarding...

US Jobless Claims Lowest Since 1973

US Department of Labor released Initial Jobless Claims for the week ending October 13th that showed a resilient and stable labor market...

  


Share: