US Risk assets were in demand again this week after several weeks of being shunned. Global markets will close up this week and US Treasuries sold off although low yields still signal market unease. Oil is holding on to last week’s rally as the dollar weakened marginally against its major trading partners. The FOMC minutes [...]
US The risk-off sentiment was palpable through much of the week, as equites and oil sold off, while safe heaven assets rallied. Markets have recovered some ground on Friday, following better-than-expected retail sales report which helped to dissuade fears about the health of the US economy. Another key concern among investors this week was the [...]
US It was another tough week in financial markets. While the US economy created 151k jobs in January and the unemployment rate fell to 4.9% (from 5.0%), the economic data did little to alleviate fears over the US.economy’s susceptibility to weak global growth and the strong dollar. Financial conditions have certainly tightened over the start [...]
US The Federal Open Market Committee (FOMC) stood on the sidelines this week, raising concern over economic and financial developments globally. The tone of the statement was more dovish than expected, reducing the odds of a March hike. US economic growth slowed in Q4 last year, with the economy advancing by a meagre 0.7% q/q [...]
US The most important event is the FOMC meeting. The expectation is for the Fed to keep the Fed funds rate target unchanged at 0.25-0.50%, which was already widely expected before this month’s financial turmoil. Instead, focus is on the accompanying statement, as there are no updated projections or press conferences in connection with this [...]
US The carnage in the US equity markets continued this week. Lifting of the sanctions on Iran sent prices for both WTI and Brent to new 12 year lows below $30 a barrel. US retail sales data for December disappointed expectations, declining 0.1%. As a result of the weak data flow, some estimates for fourth [...]
US The main theme in the US economy is the slowdown in the manufacturing sector and the concomitant steady growth in the service sector, which has left economic policy makers in a difficult position. The December payrolls number, however, occurs in a somewhat different setting than any other payrolls number in recent years. With the [...]
US As Americans got busy picking the perfect turkey and making Black Friday shopping lists, financial markets were rather quiet in a holiday-shortened week. Despite thin markets, economists did have some interesting new data to sift through, most notably a nice upward revision to GDP growth in Q3. The good news was tempered somewhat by [...]
US Overall conditions in the US economy continue to show improvement. With labor market conditions back on solid footing, attention has now turned to the second half of the Federal Reserve’s dual mandate, stable inflation. This week, the pulse of consumer prices was taken, which are increasing at a much faster pace than the Fed’s [...]
US Following a string of upbeat U.S. economic reports (on employment, auto sales and non-manufacturing), the October retail sales release was a relative dud. Although core sales rose modestly, they have softened since the summer, suggesting a loss of momentum heading into the holiday shopping season. Real consumer spending looks to increase about 3% y/y [...]
